Refer to the Normal-Form Game of Price Competition Shown Below

question 98

Multiple Choice

Refer to the normal-form game of price competition shown below. For what values of x is strategy (B, D) the only Nash equilibrium of the game?

• A) All x > 450
• B) All x < 450
• C) x = 450
• D) x < 50

---

Definitions:

Adaptive Behavior

The collection of conceptual, social, and practical skills that people learn and use in their daily lives to function effectively and meet societal standards.

Determinists

Philosophers or theorists who believe that all events, including human actions, are ultimately determined by causes external to the will.

Abnormal Behaviors

Actions or behaviors that deviate significantly from what is generally understood to be normal or typical within a society or cultural context.

Past Experience

The accumulation of knowledge or skill that an individual gains through involvement in events or activities in their life history.