-The above figure shows the payoff to two airlines,A and B,of serving a particular route.If the two airlines must decide simultaneously,which one of the following statements is true?
A) Only firm A will enter the market.
B) Only firm B will enter the market.
C) Neither firm entering is a Nash equilibrium.
D) The outcome of the game is unpredictable.

Question

-The above figure shows the payoff to two airlines,A and B,of serving a particular route.If the two airlines must decide simultaneously,which one of the following statements is true?
A) Only firm A will enter the market. 
B) Only firm B will enter the market. 
C) Neither firm entering is a Nash equilibrium. 
D) The outcome of the game is unpredictable.

Quizplus · Accepted Answer

The Answer of 
-The above figure shows the payoff to two airlines,A and B,of serving a particular route.If the two airlines must decide simultaneously,which one of the following statements is true?
A) Only firm A will enter the market. 
B) Only firm B will enter the market. 
C) Neither firm entering is a Nash equilibrium. 
D) The outcome of the game is unpredictable.

-The Above Figure Shows the Payoff to Two Airlines,A and B,of