Figure: Payoff Matrix for Jake and Zoe (Figure: Payoff

question 7

Multiple Choice

Figure: Payoff Matrix for Jake and Zoe (Figure: Payoff Matrix for Jake and Zoe) Look at the figure Payoff Matrix for Jake and Zoe.Jake and Zoe are the only producers of slushies in their tourist town.Every week, each decides whether to price high or price low for the following week.The figure shows the profit per week earned by their two firms.Suppose the firms each decide to price high initially and adopt a
Tit-for-tat strategy for the following weeks.After a few weeks, how much profit would each firm make per week?

• A)Jake's profit = $800; Zoe's profit = $800.
• B)Jake's profit = $1,000; Zoe's profit = $1,000.
• C)Jake's profit = $1,500; Zoe's profit = $200.
• D)Jake's profit = $200; Zoe's profit = $1,500.

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Definitions:

Constantly Comparing

The habitual act of comparing oneself to others in various aspects of life.

Motivate

To provide a reason, incentive, or encouragement for someone to act or behave in a particular way.

Achievement

Achievement refers to something accomplished, particularly by superior ability, special effort, great courage, or a notable feat, often recognized because of its significance.

Prosocial Behavior

Engaging in actions intended to benefit others, such as helping, sharing, or providing comfort.