Use the following table to answer the question : Table 14-3 : represents the payoff matrix of firms A and B,when they choose to produce either high output or low output.In each cell,the figure on the left indicates Firm B's payoffs and the figure on the right indicates Firm A's payoffs.

-Given the information in Table 14-3,if X = 15 and Y = 10,which firm has a dominant strategy?
A)Firm A
B)Firm B
C)Both Firm A and Firm B
D)Neither Firm A nor Firm B

Question

Use the following table to answer the question : Table 14-3 : represents the payoff matrix of firms A and B,when they choose to produce either high output or low output.In each cell,the figure on the left indicates Firm B's payoffs and the figure on the right indicates Firm A's payoffs.

-Given the information in Table 14-3,if X = 15 and Y = 10,which firm has a dominant strategy?

-Given the information in Table 14-3,if X = 15 and Y = 10,which firm has a dominant strategy?
A)Firm A 
B)Firm B 
C)Both Firm A and Firm B 
D)Neither Firm A nor Firm B

Quizplus · Accepted Answer

Both Firm A and Firm B have a dominant strategy if, regardless of the other firm's action, they have a strategy that results in a higher payoff. Without seeing Table 14-3, we can't analyze the specific payoffs, but the question implies that both firms have a strategy that is best for them regardless of the other firm's choice when X = 15 and Y = 10.

Use the Following Table to Answer the Question : Table