Form a Prisoner's Dilemma scenario and form a decision matrix for the possible outcomes. State the Nash Equilibrium and Dominant Strategy for your "players". Why is it difficult for your players to achieve the monopoly (or most mutually beneficial) outcome in your scenario?

I am gonna attach a example down below ! Please dont copy the same thing it will be palagraism

Oligopolies as a Prisoners' Dilemma 0 When oligopolies form a cartel in hopes of reaching the monopoly outcome, they become players in a prisoners' dilemma. 0 Our earlier example: 0 TMobile andVerizon are duopolists in Smalltown. 0 The cartel outcome maximizes profits: Each firm agrees to serve Q: 30 customers. 0 Here is the \"payoff matrix\" for this example. . . T-Mobile & Verizon in the Prisoners' Dilemma Each firm's dominant strategy: renege on agreement, produce Q= 40. T-Mobile Q= 30 Q= 40 T-Mobile's profit T-Mobile's profit = $900 = $1000 Q= 30 Verizon's profit Verizon's profit = $900 = $750 Verizon T-Mobile's profit T-Mobile's = $750 profit = $800 Q= 40 Verizon's profit = Verizon's profit $ 1000 = $800Prisoners' Dilemma Example 0 The police have caught Bonnie and Clyde, two suspected bank robbers, but only have enough evidence to imprison each for 1 year. 0 The police question each in separate rooms, offer each the following deal: If you confess and implicate your partner, you go free. 0 If you do not confess but your partner implicates you, you get 20 years in prison. 0 If you both confess, each gets 8 years in prison. Prisoners' Dilemma Example Confessing is the dominant strategy for both players. Nash equilibrium: both confess Bonnie's decision Confess Remain silent Bonnie gets Bonnie gets 8 years 20 years Confess Clyde Clyde Clyde's gets 8 years goes free decision Bonnie goes Bonnie gets free Remain 1 year silent Clyde Clyde gets 20 years gets 1 yearPrisoners' Dilemma Example 0 Outcome: Bonnie and Clyde both confess, each gets 8 years in prison. 0 Both would have been better off if both remained silent. 0 But even if Bonnie and Clyde had agreed before being caught to remain silent, the logic of selfinterest takes over and leads them to confess