-The Above Figure Shows the Payoff to Two Airlines,A and B,of

question 35

Multiple Choice

-The above figure shows the payoff to two airlines,A and B,of serving a particular route.If the two airlines must decide simultaneously,which one of the following statements is true?

• A) Firm A does not have a dominant strategy.
• B) Firm B does not have a dominant strategy.
• C) Neither firm entering is a Nash equilibrium.
• D) The outcome of the game is unpredictable.

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Definitions:

Operant Conditioning

An educational method where the intensity of a behavior is altered through reward or penalty.

Law Of Effect

Thorndike’s principle that behaviors followed by favorable consequences become more likely.

Biological Predispositions

Innate tendencies or genetic influences that predispose individuals to certain behaviors, diseases, or psychological disorders.

Latent Learning

Learning that occurs without any obvious reinforcement of the behavior or associations that are learned until there is an incentive to demonstrate it.