Suppose There Are Two Small Island Countries: Avarice,which Is Populated

question 91

Multiple Choice

Suppose there are two small island countries: Avarice,which is populated by people who are completely self-interested and Altruism,which is populated by people who have adopted social norms of generosity and cooperation.
Suppose residents of each island often play prisoner's dilemma games,always matched with a person from the same island,but not a person who they know or will play with again.If the same number of games is played,you would expect that:

• A)Avarice players will have higher average payoffs than Altruism players.
• B)players on both islands will quickly converge to playing the Nash Equilibrium all of the time.
• C)Altruism players will have higher average payoffs than Avarice players.
• D)players on both islands will quickly converge to the higher-payoff non Nash Equilibrium result.

---

Definitions:

Game Winnings

The amount of money or prizes won in a game, often determined by the rules and outcome of the game.

Years Of Education

The total number of years an individual has spent in formal education.

Regression Line Equation

A mathematical formula used to express the linear relationship between two variables in regression analysis.

Estimated Error

The difference between an estimated value and the true value as an attempt to measure accuracy.