这一题可以解释一下吗

问题如下：

Question Suppose two corporations in a two-player market collaborate, aiming to set up a cartel to reduce production, boost prices, and amplify earnings. In line with the Nash equilibrium, a reduced price would probably be set by:

选项：

A.only one firm. B.both firms. C.neither firm.

解释：

Solution

1. The market dynamics for two corporations in a in a duopoly can be visualized in the diagram. The bottom-left quadrant represents the Nash solution when there's no collaboration. In the case of collaboration, if ArcCo allocates enough profit in the bottom-right quadrant to offer BatCo more than it would earn in the bottom-left quadrant, this strategy will be the optimal one for the duo: they will reach peak combined profits when both corporations set high prices for their goods.

2. 

The Firm and Market Structures

• explain supply and demand relationships under oligopoly, including the optimal price and output for firms as well as pricing strategy

双寡头垄断中两家公司的市场动态可以由上表呈现。左下象限代表没有合作时的纳什解。在合作的情况下，如果ArcCo在右下象限分配足够的利润，给BatCo提供的利润比它在左下象限获得的利润要多，那么这种策略将是两家公司的最优策略:当两家公司都为自己的商品设定高价格时，它们的总利润将达到峰值。