Game Theory,what Is a Dominant Strategy

question 27

Multiple Choice

game theory,what is a dominant strategy?

• A)A strategy that leads to the best possible outcome for both firms.
• B)Any strategy that leads to a Nash equilibrium.
• C)A strategy that yields a minimax outcome.
• D)A strategy that leads to the best outcome for a firm no matter what strategy the other chooses.
• E)none of the above

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Definitions:

Utility

A measure of satisfaction or happiness that consumers derive from consuming goods and services.

Train Tickets

Tickets that grant the holder the right to travel on a train service, typically specifying the journey details.

Diminishing Marginal Utility

Diminishing Marginal Utility is an economic concept stating that as a person consumes more of a good or service, the satisfaction (utility) gained from consuming each additional unit decreases.

Total Utility

The total satisfaction or benefit that a person receives from consuming a given total quantity of a good or service.