Consider the pricing game below: Two textbook companies, Boring Books and Simple Text, are trying to decide what price to charge for textbooks. The first number in each case is the profit earned by the Simple Text company

Boring Books

$70 books $25 books Simple Text $80 books 500, 400 400, 500

$25 books 100, 50 50, 100

What is true about threats in this game?

	A.	Simple can change the equilibrium by means of a credible threat; Boring cannot.
	B.	Boring can change the equilibrium by means of a credible threat; Simple cannot.
	C.	Boring can change the equilibrium by means of a credible threat only if it can move before Simple.
	D.	Neither firm has a credible threat with which to change this equilibrium.