Question: economics question Use the data below to answer the following questions: Big Brew decision Low Price High Price Big Brew makes $2.5 million Big Brew

economics question

economics question Use the data below to answer the following questions: Big

Use the data below to answer the following questions: Big Brew decision Low Price High Price Big Brew makes $2.5 million Big Brew makes $2 million Enter Kona makes $2 million Kona makes $3 million Big Brew makes $2 million Big Brew makes $7 million Little Kona decision Don't Enter Kona makes zero Kona makes zero If the two firms could collude and agree on how to split the total profits, what outcome would they pick? If they couldn't agree, which outcome will they eventually reach? O If they collude, they would pick the upper left outcome and if they couldn't agree, they would pick the upper right outcome. O If they collude, they would pick the upper left outcome and if they couldn't agree, they would pick the bottom right outcome. O If they collude, they would pick the lower right outcome and if they couldn't agree, they would pick the upper left outcome. O In either case, they would pick the same outcome, the lower right outcome

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