If You Advertise and Your Rival Advertises, You Each Will

question 99

Multiple Choice

If you advertise and your rival advertises, you each will earn $5 million in profits.If neither of you advertise, you will each earn $10 million in profits.However, if one of you advertises and the other does not, the firm that advertises will earn $15 million and the non advertising firm will earn $1 million.Suppose this game is repeated for a finite number of times, but the players do not know the exact date at which the game will end.The players can earn collusive profits as a Nash equilibrium to the repeated play of the game if the probability the game terminates in any period is

• A)1.
• B)greater than one.
• C)close to zero.
• D)none of the statements associated with this question are correct.

---

Definitions:

Excessive Vaginal Drainage

An abnormal level of fluid or discharge from the vagina indicating a possible medical condition.

Precaution

A measure taken in advance to prevent something dangerous, unpleasant, or inconvenient from happening.

Endoscope

A medical instrument consisting of a long, flexible tube with a camera and light attached, used to visualize the interior of a bodily organ or cavity.

Disinfecting

The process of cleaning something, especially with a chemical, in order to destroy bacteria.