A Refinement Concept Places a Set of Extra Constraints on a Nash

question 21

True/False

A refinement concept places a set of extra constraints on a Nash equilibrium in order to select among multiple equilibria if they exist or to simply make the equilibrium more plausible.

---

Definitions:

Coordinates

A set of numbers that determine the position of a point, line, or area in a space.

Centre of Gravity

A geographical location that minimizes transportation costs for a company, considering the locations of suppliers, manufacturing facilities, and markets.

Fixed Cost

Costs that remain constant regardless of the amount of goods produced or sold, like lease payments, employee wages, and insurance fees.