In a Minimization Problem, a Positive Improvement Index in a Cell

question 40

Multiple Choice

In a minimization problem, a positive improvement index in a cell indicates that:

• A) the solution is optimal.
• B) the total cost will increase if units are reallocated to that cell.
• C) there is degeneracy.
• D) the total cost will decrease if units are reallocated to that cell.
• E) the problem has no feasible solution.

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Definitions:

Nash Equilibrium

A concept in game theory where no player can benefit by changing strategies while the other players keep their strategies unchanged.

Maximin Strategy

A decision-making rule used in game theory and statistics to maximize the minimum gain that can be achieved.

Dominant Strategy

In game theory, a strategy that is best for a player regardless of the strategies chosen by other players in the game.

Nash Equilibria

A concept in game theory where no player can gain by unilaterally changing their strategy, indicating a balance where each player's strategy is optimal given the other players' strategies.