mayakinseth2261 mayakinseth2261

12-01-2022
SAT

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The two major newspapers in a city, daily voice and town herald, are considering whether to raise the subscription price. The first entries in the matrix above show the profits to daily voice, and the second entries show the profits to town herald. Which of the following is consistent with the above payoff matrix?.

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AFOKE88 AFOKE88

20-01-2022

The option that is consistent with the above payoff matrix is;

C: Increase Subscription Price is a dominant strategy for Daily Voice.

Payoff Matrix

The table showing the matrix is missing and so i have attached it.

When Town Herald does not change the subscription price, then it is obvious that the best strategy for daily voice is to increase subscription price because $600 > $500 from the matrix table.

Thus, the correct option that is consistent with the above payoff matrix is Option C

The missing options are;

a. Do Not Change Subscription Price is adominant strategy forDaily Voice.

b. Do Not Change Subscription Price is adominant strategy forTown Herald.

c. Increase Subscription Price is a dominantstrategy for daily Voice.

d. Increase Subscription Price is a dominantstrategy forTown Herald.

e. There are no dominant strategies in the abovepayoff matrix

Read more about payoff matrix at; https://brainly.com/question/16158065

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