8. Refer to the payoff matrix in Discussion Question 3. First, assume this is a one-time game. Explain how the $60/$57 outcome might be achieved through a credible threat. Next, assume this is a repeated game, not a one-time game, such that the interaction between the two firms occurs indefinitely.

Why might collusion with a credible threat not be necessary to achieve the $60/$57 outcome? [LO13.6]