The Table Given Below Shows the Payoffs to Firm a and Firm

question 80

Multiple Choice

The table given below shows the payoffs to Firm A and Firm B if they choose to produce either high output or low output.In each cell,the figure on the left indicates Firm A's payoffs and the figure on the right indicates Firm B's payoffs.
-Refer to the payoff matrix in Table 14-1 and identify the Nash equilibrium.

• A)Both firms produce low output
• B)Both firms produce high output
• C)Firm A produces low output and Firm B produces high output
• D)Firm A produces high output and Firm B produces low output

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