(Figure: Oligopoly Pricing Strategy in Wireless TV Market II) Use Figure: Oligopoly Pricing Strategy in Wireless TV Market II. If the two firms in the cable TV market collude:

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

Question

(Figure: Oligopoly Pricing Strategy in Wireless TV Market II) Use Figure: Oligopoly Pricing Strategy in Wireless TV Market II. If the two firms in the cable TV market collude:
​
 
A)Spectrum will set a high price and earn $80,000, and Sling will set a low price and earn $130,000. 
B)Spectrum will set a low price and earn $130,000, and Sling will set a high price and earn $80,000. 
C)both firms will set a low price, and each will earn $90,000. 
D)both firms will set a high price, and each will earn $100,000.

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. If the two firms in the cable TV market collude:
​
 
A)Spectrum will set a high price and earn $80,000, and Sling will set a low price and earn $130,000. 
B)Spectrum will set a low price and earn $130,000, and Sling will set a high price and earn $80,000. 
C)both firms will set a low price, and each will earn $90,000. 
D)both firms will set a high price, and each will earn $100,000.