The accompanying graph depicts a normal-form game of price competition. Firm B Low Price High Price Firm A Low Price 0, 0 (10, -2) High
The accompanying graph depicts a normal-form game of price competition. Firm B Low Price High Price Firm A Low Price 0, 0 (10, -2) High Price (-10, 10) (8, 8) Suppose both firms agreed to charge a high price, but firm A deviates and charges a low price. What is the present value of A's payoff from cheating? Multiple Choice O 2 8 O 10 O
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