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Fergie and Abdul were caught by the police in the vicinity of a robbery site. The police have a strong feeling the two individuals are the actual robbers, but they do not have a way to prove it yet. In the absence of hard evidence, the prosecutor can convict them of only a minor offence, with only a year in prison. The police put the two in separate rooms and try to offer them incentives to confess: if one of the robbers does so, he would go
scot- free while the other goes to prison for 10 years. If both confess the prosecutor will be able to put both in prison for 5 years. As a result, each partner in crime has two options: to confess or to remain silent.
Note: here payoffs are in years of prison, so less is better.
a)Represent this game in normal form. Are there dominant strategies for these robbers?
b)What s the Nash equilibrium of this game?
c)How is this game called?
d)What exactly is the dilemma that the two robbers have? Is there a way to get around this problem
Credibility Gap
The distrust or skepticism that arises when there is a perceived disconnect between what an individual or organization says and what they actually do.
Human Resources
Concerns all aspects of employment, including recruitment, staffing, training, payroll, benefits administration, and compliance with labor laws.
Management and Staffs
The process and people involved in planning, organizing, leading, and controlling an organization's resources to achieve its objectives.
Conscious Determinants
Factors that are consciously recognized and understood to influence an individual's thoughts, feelings, and behaviors.
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