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188 -Consider the Pricing Game Depicted in Figure 13.6. Suppose That

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  188 -Consider the pricing game depicted in Figure 13.6. Suppose that if firm A charges a high price there is a 15 percent chance that firm B will charge a high price and an 85 percent chance that firm B will charge a low price. If firm A charges a low price there is an 85 percent chance that firm B will charge a high price and a 15 percent chance that firm B will charge a low price. What is the riskier strategy profile for firm A? A)  {High price 6 High price} B)  {High price 6 Low price} C)  {Low price 6 High price} D)  {Low price 6 Low price} 188
-Consider the pricing game depicted in Figure 13.6. Suppose that if firm A charges a high price there is a 15 percent chance that firm B will charge a high price and an 85 percent chance that firm B will charge a low price. If firm A charges a low price there is an 85 percent chance that firm B will charge a high price and a 15 percent chance that firm B will charge a low price. What is the riskier strategy profile for firm A?


A) {High price 6 High price}
B) {High price 6 Low price}
C) {Low price 6 High price}
D) {Low price 6 Low price}

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