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Business, 18.05.2021 19:30 TH3L0N3W0LF

Assume that if you advertise and your rival advertises, you each will earn $4 million in profits. If neither of you advertises, you will each earn $10 million in profits. However, if one of you advertises and the other does not, the firm that advertises will earn $1 million and the non-advertising firm will earn $5 million. If you and your rival plan to be in business for 10 years, then the Nash equilibrium is:

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Assume that if you advertise and your rival advertises, you each will earn $4 million in profits. If...
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