The Difference Between a Nash Equilibrium Strategy and a Dominant

question 14

Multiple Choice

The difference between a Nash equilibrium strategy and a dominant strategy is:

• A)nothing;they are synonymous.
• B)the former is stable but the latter is unstable.
• C)the former must be a best response to all others' strategy profiles,whereas the latter need only be a best response to others' Nash equilibrium strategies.
• D)the former need only be a best response to others' Nash equilibrium strategies,whereas the latter must be a best response to all others' strategy profiles.

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Definitions:

Financial Audit Committee

A subgroup of a company’s board of directors focused on overseeing the financial reporting and disclosure process.

CFO

Chief Financial Officer, an executive responsible for managing the financial actions of a company, including financial planning, risk management, and record-keeping.

CEO

The Chief Executive Officer, the highest-ranking officer in an organization, responsible for major corporate decisions and management leadership.

Ethical Disaster

An occurrence resulting from actions that severely contradict ethical norms, leading to widespread moral or ethical condemnation.