Problem: Below is a payoff matrix for Intel and AMD. In each cell, the first number refers to AMD's profit, while the second is Intel's. Is there a Nash Equilibrium? Is this an example of the Prisoner's Dilemma?
|
|
Intel |
|
|
Lower Price |
Same Price |
Higher Price |
| AMD |
Lower Price |
-5,-10 |
-2,6 |
15,-15 |
| Same Price |
6,4 |
7,20 |
5,-4 |
| Higher Price |
-12,12 |
3,15 |
16,20 |