Untied and Air ’R’ Us are the only two airlines operating fl…
Untied and Air ’R’ Us are the only two airlines operating flights between Collegeville and Bigtown. That is, they operate in a duopoly. Each airline can charge either a high price or a low price for a ticket. The accompanying matrix shows their payoffs, in profits per seat (in dollars), for any choice that the two airlines can make. Reference: Ref 4-2 The Nash equilibrium:
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