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Figure 17-2

Question 133

Multiple Choice

Figure 17-2. Two companies, Acme and Pinnacle, each decide whether to produce a good quality product or a poor quality product. In the figure, the dollar amounts are payoffs and they represent annual profits for the two companies. Figure 17-2. Two companies, Acme and Pinnacle, each decide whether to produce a good quality product or a poor quality product. In the figure, the dollar amounts are payoffs and they represent annual profits for the two companies.   -Refer to Figure 17-2. The dominant strategy for Acme is to A) produce a good quality product, and the dominant strategy for Pinnacle is to produce a good quality product. B) produce a good quality product, and the dominant strategy for Pinnacle is to produce a poor quality product. C) produce a poor quality product, and the dominant strategy for Pinnacle is to produce a good quality product. D) produce a poor quality product, and the dominant strategy for Pinnacle is to produce a poor quality product.
-Refer to Figure 17-2. The dominant strategy for Acme is to


A) produce a good quality product, and the dominant strategy for Pinnacle is to produce a good quality product.
B) produce a good quality product, and the dominant strategy for Pinnacle is to produce a poor quality product.
C) produce a poor quality product, and the dominant strategy for Pinnacle is to produce a good quality product.
D) produce a poor quality product, and the dominant strategy for Pinnacle is to produce a poor quality product.

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