Suppose that Panasonic and Zenith are the only two firms that can produce a new type of

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Suppose that Panasonic and Zenith are the only two firms that can produce a new type of 3D TV. The payoff matrix shows the firms’ profits (in millions of dollars):

If the firms make their decisions simultaneously, which firms enter? How would your answer change if the U.S. government committed to paying GM a lump-sum subsidy of $50 million on the condition that it would produce this new type of car?

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