S Player 1: North Star price (payoffs on the top of each cell) 1,647 1,498 $...

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S Player 1: North Star price (payoffs on the top of each cell) 1,647 1,498 $ 1,499 1,598 1,998 2.397 2,797 3,196 3,596 3,995 4,395 4,794 5,194 5.593 792 1,118 1,393 1,619 1,794 1,920 1,999 2,021 1,996 1,922 1,797 1,873 2.247 2,622 2,996 3,371 3,745 4,120 4,494 4,869 5.243 5.618 743 1,043 1,294 1,494 1,645 1,745 1,796 1,796 1,747 IS 1,399 2,097 2,447 2,796 3,146 3,495 3,845 4,194 4,544 969 1.194 1,370 1,495 1,571 1,596 1,572 1,497 2,596 2.921 3,245 3,570 3,894 1.396 1,397 4,893 5,243 5,592 1,373 693 2.272 4,219 4,543 4,868 5,192 644 894 1.346 1,347 1,248 1,098 1,095 1.245 2.995 2,396 3.295 3,594 3,894 4,193 4,493 4,792 5,092 594 1,197 1,123 998 2,471 3,843 4,118 4,393 545 1,047 998 898 2,495 3,743 4,242 495 873 674 $ 1,149 2,470 446 2,394 396 2,269 347 Some markets in the U.S. are served by only a subset of flat-rolled steel producers. In large swaths of Montana, Nucor and North Star are the only suppliers. You are hired as a consultant, working for Nucor, to figure out what price Nucor should charge for its basic sheet metal product in Montana. One of your analysts developed a payoff matrix showing the profitability for every pair of reasonable per ton prices Nucor and North Star might charge. The payoff matrix is reproduced below: S 1,349 S 1,299 1,449 S 1,249 S S 1,199 S S 1,099 199 1,049 99 2,696 820 2,745 745 995 3,020 896 2,745 2.994 796 671 2,694 2.919 596 697 2.594 522 2.443 447 2,793 597 2,618 498 1,121 1,196 1,222 3.294 3,569 996 1,047 3,244 3,493 872 897 3,143 3,368 747 748 2,993 3,192 623 2,792 498 2,093 2.243 2,392 2,542 373 398 297 374 S 1,09 S 1.14 S 1.19 S 1,24 S 598 2.967 449 2,691 299 1,29 3,592 698 3,392 524 3,141 349 3,992 798 3,817 599 3,591 399 S 1,349 S 2,841 2.990 175 a HEA 4,041 449 3,791 3,990 225 0 3,316 3,490 3,665 200 0 0 3,140 ( 4,667 749 4,941 549 4,491 4,741 499 275 4,266 4,490 250 0 4,190 0 1,399 S 1,449 S 3,289 0 3,839 o 3,439 0 1,198 5.517 899 5.391 599 5,216 300 4,990 0 4,715 ( 4,389 4,014 3,588 1,499 S 1,549 S 1,599 Player 2: Nucor price payoffs on the bottom of each cell) Based on the matrix the analyst developed, what are the Nash Equilibria prices for Nucor and North Star in Montana? Use the following syntax to enter your answer in the answerbox below (Northstar price, Nucor price). S Player 1: North Star price (payoffs on the top of each cell) 1,647 1,498 $ 1,499 1,598 1,998 2.397 2,797 3,196 3,596 3,995 4,395 4,794 5,194 5.593 792 1,118 1,393 1,619 1,794 1,920 1,999 2,021 1,996 1,922 1,797 1,873 2.247 2,622 2,996 3,371 3,745 4,120 4,494 4,869 5.243 5.618 743 1,043 1,294 1,494 1,645 1,745 1,796 1,796 1,747 IS 1,399 2,097 2,447 2,796 3,146 3,495 3,845 4,194 4,544 969 1.194 1,370 1,495 1,571 1,596 1,572 1,497 2,596 2.921 3,245 3,570 3,894 1.396 1,397 4,893 5,243 5,592 1,373 693 2.272 4,219 4,543 4,868 5,192 644 894 1.346 1,347 1,248 1,098 1,095 1.245 2.995 2,396 3.295 3,594 3,894 4,193 4,493 4,792 5,092 594 1,197 1,123 998 2,471 3,843 4,118 4,393 545 1,047 998 898 2,495 3,743 4,242 495 873 674 $ 1,149 2,470 446 2,394 396 2,269 347 Some markets in the U.S. are served by only a subset of flat-rolled steel producers. In large swaths of Montana, Nucor and North Star are the only suppliers. You are hired as a consultant, working for Nucor, to figure out what price Nucor should charge for its basic sheet metal product in Montana. One of your analysts developed a payoff matrix showing the profitability for every pair of reasonable per ton prices Nucor and North Star might charge. The payoff matrix is reproduced below: S 1,349 S 1,299 1,449 S 1,249 S S 1,199 S S 1,099 199 1,049 99 2,696 820 2,745 745 995 3,020 896 2,745 2.994 796 671 2,694 2.919 596 697 2.594 522 2.443 447 2,793 597 2,618 498 1,121 1,196 1,222 3.294 3,569 996 1,047 3,244 3,493 872 897 3,143 3,368 747 748 2,993 3,192 623 2,792 498 2,093 2.243 2,392 2,542 373 398 297 374 S 1,09 S 1.14 S 1.19 S 1,24 S 598 2.967 449 2,691 299 1,29 3,592 698 3,392 524 3,141 349 3,992 798 3,817 599 3,591 399 S 1,349 S 2,841 2.990 175 a HEA 4,041 449 3,791 3,990 225 0 3,316 3,490 3,665 200 0 0 3,140 ( 4,667 749 4,941 549 4,491 4,741 499 275 4,266 4,490 250 0 4,190 0 1,399 S 1,449 S 3,289 0 3,839 o 3,439 0 1,198 5.517 899 5.391 599 5,216 300 4,990 0 4,715 ( 4,389 4,014 3,588 1,499 S 1,549 S 1,599 Player 2: Nucor price payoffs on the bottom of each cell) Based on the matrix the analyst developed, what are the Nash Equilibria prices for Nucor and North Star in Montana? Use the following syntax to enter your answer in the answerbox below (Northstar price, Nucor price).

Answer rating: 100% (QA)

To determine the Nash Equilibrium prices for Nucor and No... View the full answer