Multiple Choice
The payoff matrix below shows the payoffs (in millions of dollars) for two firms, A and B, for two different strategies, investing in new capital or not investing in new capital. An industry spy from firm A comes to firm B and offers to pay B in exchange for B's certain and enforceable promise to not invest. What is the most that firm A will be willing to pay B to not invest?
A) $30 million
B) $20 million
C) $35 million
D) $50 million
Correct Answer:

Verified
Correct Answer:
Verified
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