📚 Learning Guide
Dominant Strategies in Game Theory
medium

In a game where both players have the option to cooperate or defect, which of the following scenarios represents a situation where each player's choice is their dominant strategy?

Master this concept with our detailed explanation and step-by-step learning approach

Learning Path
Learning Path

Question & Answer
1
Understand Question
2
Review Options
3
Learn Explanation
4
Explore Topic

Choose the Best Answer

A

Both players choose to cooperate, leading to mutual benefit.

B

One player defects while the other cooperates, maximizing individual gain.

C

Both players defect, resulting in lower payoffs for both compared to cooperation.

D

One player cooperates and the other defects, leading to the best outcome for the defector.

Understanding the Answer

Let's break down why this is correct

Answer

In game theory, a dominant strategy is one that is the best choice for a player, no matter what the other player decides to do. Consider a situation where two players can either cooperate, which means they work together for a mutual benefit, or defect, which means they act in their own self-interest. If both players choosing to defect leads to a better outcome for each player than if they cooperated, then defecting is their dominant strategy. For example, if Player A and Player B both get a payoff of 1 for defecting, but only 0. 5 if they both cooperate, then defecting is the best choice for both players.

Detailed Explanation

When one player cooperates and the other defects, the defector gets the best outcome. Other options are incorrect because Many think cooperation is always best; Some believe that defecting while the other cooperates is the best choice.

Key Concepts

dominant strategy
best response
Topic

Dominant Strategies in Game Theory

Difficulty

medium level question

Cognitive Level

understand

Ready to Master More Topics?

Join thousands of students using Seekh's interactive learning platform to excel in their studies with personalized practice and detailed explanations.