In Which of the Following Situations Identified by Baron and Besanko

Multiple Choice

In which of the following situations identified by Baron and Besanko will a matrix never be optimal regardless of any additional circumstances?

A) When spillovers are positively correlated and activities are profit complements
B) When activities are profit complements but spillovers are negatively correlated
C) If activities are profit substitutes and spillovers are positively correlated
D) If spillovers are negatively correlated and activities are profit substitutes
E) None of the above