Table 17-19 Consider a Small Town That Has Two Grocery Stores from Stores

question 227

Multiple Choice

Table 17-19
Consider a small town that has two grocery stores from which residents can choose to buy a gallon of milk. The store owners each must make a decision to set a high milk price or a low milk price. The payoff table, showing profit per week, is provided below. The profit in each cell is shown as (Store 1, Store 2) .

-Refer to Table 17-19.If grocery store 2 sets a low price,what price should grocery store 1 set? And what will grocery store 1's payoff equal?

• A) Low price, $500
• B) High price, $800
• C) Low price, $100
• D) High price, $100

---

Definitions:

Picture Story Exercise

A projective psychological test used to uncover an individual's implicit motives, desires, and fears through the stories they create about ambiguous pictures.

Self-actualization

Actualizing one’s abilities and possibilities, regarded as an inherent desire or necessity found within every person.

Collective Unconscious

Carl Jung’s term for the unconscious archetypes shared by all humans.

Implicit Motives

Unconscious drivers that influence how individuals behave, their decision-making, and their responses to various situations or stimuli.