Exam 14: Game Theory and Strategic Behavior

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (47-49). -*Game 8 shows the payoff matrix in terms of profit (in millions of dollars) for two possible strategies: advertise or do not advertise.Which of the following is a true statement?

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (30-33). -*In Game 3 above,

In order to solve a sequential game

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (34-36). -*Suppose in Game 4 above that the players make their choices sequentially,with Player A choosing first.The Nash equilibrium in this game will be

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (34-36). -*For Game 4 above,which of the following statements is incorrect?

Under a mixed strategy,

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (37-41). -*In Game 5 above,in the Nash equilibrium in mixed strategies

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (30-33). -*In Game 3 above,

A prisoners' dilemma game illustrates the conflict between

Game theory refers to

In a simultaneous move game with two players,

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (47-49). -*Game 8 shows the payoff matrix in terms of profit (in millions of dollars) for two possible strategies: advertise or do not advertise.Suppose that the two companies can legally make a non-binding agreement to not advertise.Based on the payoff matrix shown above,will the two companies honor such an agreement to not advertise?

A strategy in which you do to your opponent in this period what your opponent did to you in the last period is a

Games with structures like Game 9 above have been used to describe

Player A and Player B are playing a prisoners' dilemma game.Which of the following statements is false?

Evaluate the truthfulness of the following statements I.A simultaneous game is commonly represented in a game matrix,whereas a sequential game is commonly represented with a game tree. II.The concept of backwards induction applies to both simultaneous and sequential games.

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (37-41). -*In Game 5 above,

The likelihood of a cooperative outcome in a repeated prisoners' dilemma type game increases when

**Reference: In the following games, all payoffs are listed with the row player's payoffs first and the column player's payoffs second (34-36). -*In Game 4 above,

Which of the following statements is incorrect?