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As a researcher you approach couples at an amusement park and ask them how much they are in love. Some couples you ask before they get on the roller coaster, and other couples you ask as they get off. You find that people report they are more in love after they get off the roller coaster. How can you explain this?
Prisoner's Dilemma
A paradox in decision-analysis in which two individuals acting in their own self-interest do not produce the optimal outcome.
Nash Equilibrium
A concept in game theory where no player can benefit by changing their strategy while the other players keep theirs unchanged, leading to a stable outcome.
Nash Equilibrium
A concept in game theory where each player is assumed to know the equilibrium strategies of the other players, and no player has anything to gain by changing only their own strategy.
Sequential Game
A strategic situation where players make decisions one after another, with each player aware of the previous players' actions before choosing their strategy.
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