63 083
Assignments Done
99,1%
Successfully Done
In July 2018

Answer to Question #46150 in Economics of Enterprise for baam2014@outlook.com

Question #46150
Consider the following payoff matrix:

player B strategy
1 2
1000$ - 2000
player A strategy 1 2000$ -1000
-1000$ 2000
2 -2000 1000


a. Does Player A have a dominant strategy? Explain why or why not.

b. Does Player B have a dominant strategy? Explain why or why not
Expert's answer
a. Player A has a dominant strategy, he will prefer the strategy 1 to minimize possible losses and maximize possible gains. In our case both Player A and Player B will chose strategy 1, so Player A will get $2000 and Player B will get $1000.
b. Player B has a dominant strategy too, he will prefer the strategy 1 to minimize possible losses. That's why, in our case both Player A and Player B will chose strategy 1, so Player A will get $2000 and Player B will get $1000.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

Submit
Privacy policy Terms and Conditions