A Dominant Strategy Means That

question 47

Multiple Choice

A dominant strategy means that:

• A)One player makes the best move given the move of the other player.
• B)A player does not consider the moves available to the other player in making his decision.
• C)It is the best response regardless of the strategy picked by the other player.
• D)One player is aggressive while the other is passive.

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Definitions:

Payments Occur

Indicates the instances or periods at which monetary transactions or installments are made.

Perpetuities

Financial instruments that provide an endless stream of equal payments with no expiration date.

Equal Payments

Regular and identical payments made over a specified period, often found in loan agreements or installment plans.

Present Value

The current value of a future amount of money or stream of cash flows given a specified rate of return.