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Two firms are in the chocolate market. Each can choose to go for the high end of the market (high quality) or the low end

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Two firms are in the chocolate market. Each can choose to go for the high end of the market (high quality) or the low end (low quality). The following payoff matrix gives the resulting profits: Firm 2 Low High Firm 1 Low -20, -30 900, 600 High 100, 800 50, 50 a. What outcomes, if any, are Nash equilibria? b. What is the outcome that maximizes joint surplus? c. Which firm benefits most from the cooperative outcome

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