Using the payoff matrix, X and Y are multiple choice 1 independent, because their profits depend on an agreed-upon price. interdependent, because their profits depend on an agreed-upon price. independent, because their profits depend on their own price. interdependent, because their profits depend not just on their own price but also on the other firm's price. Using the payoff matrix, and assuming no collusion between X and Y, what is the likely pricing outcome? multiple choice 2 Firm X will charge $40 and firm Y will charge $35. Both firms will set price at $40. Both firms will set price at $35. Firm X will charge $35 and firm Y will charge $40. Price collusion is mutually profitable because each firm achieves multiple choice 3 higher productivity. lower costs. increased sales. higher profits. Firms might be tempted to cheat on the collusive agreement because each firm could achieve multiple choice 4 lower costs. higher profits. increased sales. higher productivity