Question 1

The beauty of Nash's equilibrium concept is that

Accepted Answer

A) all games have one. 
B) all games have no more than one. 
C) all games have a rich set to choose from. 
D) it is a Pareto optimum. 
A) all games have one. 
B) all games have no more than one. 
C) all games have a rich set to choose from. 
D) it is a Pareto optimum.

Question 2

Consider the same setup with the curved final exam as in the previous question.Now suppose the students move sequentially.Which best describes the outcome in the subgame-perfect equilibrium?

Accepted Answer

A) Brainiacs study and Numbskulls party regardless of who moves first. 
B) Brainiacs party and Numbskulls study regardless of who moves first. 
C) The party moving first studies. 
D) The party moving first parties. 
A) Brainiacs study and Numbskulls party regardless of who moves first. 
B) Brainiacs party and Numbskulls study regardless of who moves first. 
C) The party moving first studies. 
D) The party moving first parties.

Question 3

A subgame-perfect equilibrium is a Nash equilibrium that

Accepted Answer

A) cannot persist through several periods. 
B) involves only credible threats. 
C) consists only of dominant strategies. 
D) is unique. 
A) cannot persist through several periods. 
B) involves only credible threats. 
C) consists only of dominant strategies. 
D) is unique.

The beauty of Nash's equilibrium concept is that

Consider the same setup with the curved final exam as in the previous question.Now suppose the students move sequentially.Which best describes the outcome in the subgame-perfect equilibrium?

A subgame-perfect equilibrium is a Nash equilibrium that

Economic Models

Utility and Choice

Demand Curves

Uncertainty

Production

Costs

Profit Maximization and Supply

Perfect Competition in a Single Market

General Equilibrium and Welfare

Monopoly

Imperfect Competition

Pricing in Input Markets

Capital and Time

Asymmetric Information

Externalities and Public Goods

Behavioral Economics

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Exam 5: Game Theory

The beauty of Nash's equilibrium concept is that

Consider the same setup with the curved final exam as in the previous question.Now suppose the students move sequentially.Which best describes the outcome in the subgame-perfect equilibrium?

A subgame-perfect equilibrium is a Nash equilibrium that

Economic Models

Utility and Choice

Demand Curves

Uncertainty

Production

Costs

Profit Maximization and Supply

Perfect Competition in a Single Market

General Equilibrium and Welfare

Monopoly

Imperfect Competition

Pricing in Input Markets

Capital and Time

Asymmetric Information

Externalities and Public Goods

Behavioral Economics

Filters