Question : 18) A dominant strategy ________. A) always results in equal payoffs : 1377507

18) A dominant strategy ________.

A) always results in equal payoffs to all the players in a game

B) always results in zero payoff to the opponent

C) results in a higher payoff irrespective of the strategy chosen by the other player

D) always results in a lower payoff irrespective of the strategy chosen by the other player

19) Which of the following is true of the dominant strategy equilibrium?

A) A dominant strategy equilibrium always leads to the best outcome for each player.

B) A dominant strategy equilibrium cannot be a Nash equilibrium.

C) A dominant strategy equilibrium is a Nash equilibrium if each player chooses a strategy that is a best response to the strategies of others.

D) A dominant strategy equilibrium occurs if the sum of the players’ payoff is zero.

Rita and Mike have been caught cheating in an examination. They are taken to separate rooms for interrogation. Their payoff matrix is given below. The first number listed in each cell is the payoff to the row player and the second number listed is the payoff to the column player.

20) Refer to the scenario above. This is an example of a(n) ________.

A) extensive-form game

B) simultaneous-move game

C) zero-sum game

D) mixed strategy game

21) Refer to the scenario above. Which of the following is true?

A) Mike’s best response is to hold out if Rita confesses.

B) Rita’s best response is to hold out if she expects Mike not to confess

C) Rita’s best response is not to confess irrespective of what Mike does.

D) Mike’s best response is to confess irrespective of what Rita does.

22) Refer to the scenario above. What will be the outcome of this game?

A) Mike will confess while Rita will not confess.

B) Rita will confess while Mike will not confess.

C) Neither of them will confess.

D) Both of them will confess.

23) Refer to the scenario above. Which of the following is likely to happen if Rita confesses while Mike does not confess?

A) Both of them will be let free.

B) Rita will be let free while Mike will be suspended.

C) 10 points will be deducted from their respective scores.

D) 10 pints will be deducted from Mike’s score while Rita will be suspended.

24) Refer to the scenario above. Which of the following is likely to happen if Mike confesses while Rita does not confess?

A) Both of them will be let free.

B) Mike will be let free while Rita will be suspended.

C) 10 points will be deducted from their respective scores.

D) 10 points will be deducted from Rita’s score while Mike will be suspended.

25) Refer to the scenario above. In this game, the ________ strategy combination gives strictly lower payoffs than the ________ strategy combination.

A) (confess, confess); (do not confess, do not confess)

B) (confess, do not confess); (do not confess, confess)

C) (do not confess, do not confess); (confess, confess)

D) (do not confess, confess); (confess, do not confess)

26) A player has a dominant strategy when:

A) her chosen strategy gives her a lower payoff than the other player.

B) her chosen strategy matches the best response of other players in the game.

C) she has many best responses to any strategy of the other player in the game.

D) she has only one best response to every possible strategy of the other player.

27) Which of the following statements is true?

A) In any game, the best response of a player is also her dominant strategy.

B) The best response of a player is not always her dominant strategy.

C) A prisoners’ dilemma game is an example of a zero-sum game.

D) A prisoners’ dilemma game is an example of an extensive-form game.

28) Which of the following is true of a prisoners’ dilemma game?

A) A prisoners’ dilemma game has multiple Nash equilibria.

B) There is no dominant strategy equilibrium in a prisoners’ dilemma game.

C) The dominant strategy equilibrium in a prisoners’ dilemma game is also the Nash equilibrium.

D) The prisoners’ dilemma game is an extensive-form game.