In which of the following games is it clearly the case that the cooperative outcome of the game is good for the two players and bad for society?
A)Two oil companies own adjacent oil fields over a common pool of oil, and each company decides whether to drill one well or two wells.
B)Two airlines dominate air travel between City A and City B, and each airline decides whether to charge a "high" airfare or a "low" airfare on flights between those two cities.
C)Two superpowers decide whether to build new weapons or to disarm.
D)There are no games where the cooperative outcome of the game is good for the two players and bad for society.

Question

Quizplus · Accepted Answer

When two airlines cooperate to charge high airfares, it benefits them through higher profits but harms consumers and society by reducing competition and increasing prices.

In Which of the Following Games Is It Clearly the Case