Asked by
Bryana Wulfekuhle
on Dec 04, 2024Verified
Nash equilibria are stable because:
A) they involve dominant strategies.
B) they involve constant-sum games.
C) they occur in noncooperative games.
D) once the strategies are chosen, no players have an incentive to negotiate jointly to change them.
E) once the strategies are chosen, no player has an incentive to deviate unilaterally from them.
Nash Equilibria
Situations in a strategic game where no player can benefit by changing their strategy while the other players keep theirs unchanged.
Stable
In an economic context, it refers to a situation or condition that is not significantly changing or is predictable and thus not subject to rapid fluctuations.
Noncooperative Games
A type of game theory in which players make decisions independently, without colluding or forming alliances, often leading to suboptimal outcomes for all involved.
- Discern and scrutinize the Nash equilibrium in scenarios related to game theory.
Verified Answer
SG
Learning Objectives
- Discern and scrutinize the Nash equilibrium in scenarios related to game theory.