(Figure: Oligopoly Pricing Strategy in Wireless TV Market II) Use Figure: Oligopoly Pricing Strategy in Wireless TV Market II. The Nash equilibrium in the cable TV market occurs when:

A)both firms set a low price, and each earns $90,000.
B)both firms set a high price, and each earns $100,000.
C)Spectrum sets a high price and earns $80,000, and Sling sets a low price and earns $130,000.
D)Spectrum sets a low price and earns $130,000, and Sling sets a high price and earns $80,000.

Question

(Figure: Oligopoly Pricing Strategy in Wireless TV Market II) Use Figure: Oligopoly Pricing Strategy in Wireless TV Market II. The Nash equilibrium in the cable TV market occurs when:
​
 
A)both firms set a low price, and each earns $90,000. 
B)both firms set a high price, and each earns $100,000. 
C)Spectrum sets a high price and earns $80,000, and Sling sets a low price and earns $130,000. 
D)Spectrum sets a low price and earns $130,000, and Sling sets a high price and earns $80,000.

Quizplus · Accepted Answer

The Answer of (Figure: Oligopoly Pricing Strategy in Wireless TV Market II) Use Figure: Oligopoly Pricing Strategy in Wireless TV Market II. The Nash equilibrium in the cable TV market occurs when:
​
 
A)both firms set a low price, and each earns $90,000. 
B)both firms set a high price, and each earns $100,000. 
C)Spectrum sets a high price and earns $80,000, and Sling sets a low price and earns $130,000. 
D)Spectrum sets a low price and earns $130,000, and Sling sets a high price and earns $80,000.