Use the Following to Answer Question

question 102

Multiple Choice

Use the following to answer question:
Figure: Pricing Strategy in Cable TV Market II
-(Figure: Pricing Strategy in Cable TV Market II) Use Figure: Pricing Strategy in Cable TV Market II.If the two firms in the cable TV market collude:

• A)CableNorth will set a high price and earn $80,000,and CableSouth will set a low price and earn $130,000.
• B)CableNorth will set a low price and earn $130,000,and CableSouth will set a high price and earn $80,000.
• C)both firms will set a low price and each will earn $90,000.
• D)both firms will set a high price and each will earn $100,000.

---

Definitions:

Conduction

The process by which heat or electricity is directly transmitted through a substance when there is a difference of temperature or electrical potential between adjoining regions, without movement of the material.

Allergic Response

The body's immune system reacting abnormally to a foreign substance, such as pollen, food, or medication, resulting in symptoms like itching, swelling, and difficulty breathing.

Antibiotic

Substances used to kill or inhibit the growth of bacteria, used primarily in the treatment and prevention of bacterial infections.

Febrile Seizures

Convulsions in young children caused by a spike in body temperature, often from an infection.