Which of the Following Best Describes "Game Theory" as It

question 64

Multiple Choice

Which of the following best describes "game theory" as it applies to animal behaviour?

• A)The fitness of a particular behaviour is influenced by other behavioural phenotypes in a population.
• B)The total of all of the behavioural displays, both male and female, is related to courtship.
• C)An individual in a population changes a behavioural phenotype to gain a competitive advantage.
• D)The play behaviour performed by juveniles allows them to perfect adult behaviours that are needed for survival, such as hunting, courtship, and so on.
• E)The evolutionary "game" is played between predator and prey, wherein the prey develops a behaviour through natural selection that enables it to be less vulnerable to predation, and the predator counters with a new reciprocal predatory behaviour.

---

Definitions:

MM Model

Refers to the Modigliani-Miller theorem, a foundational concept in corporate finance that states that under certain market conditions, the value of a firm is unaffected by how it is financed.

Arbitrage

The simultaneous buying and selling of the same commodity or security in two different markets at different prices, thus pocketing a risk-free return.

Capital Structure

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which is used to finance its overall operations and growth.

Common Share Equity

The amount of money that would be returned to shareholders if a company's assets were liquidated and all its debts repaid, representing ownership in a corporation.