Nash equilibria are stable because
A) they involve dominant strategies.
B) they involve constant-sum games.
C) they occur in noncooperative games.
D) once the strategies are chosen, no players have an incentive to negotiate jointly to change them.
E) once the strategies are chosen, no player has an incentive to deviate unilaterally from them.
E
You might also like to view...
A firm's accounting profit is also its
A) economic profit. B) net income. C) statement of liabilities. D) income statement.
Suppose the demand for meals at a medium-priced restaurant is elastic. If the management of the restaurant is considering raising prices, it can expect the total revenues the restaurant earns to:
A) increase. B) stay the same. C) decrease. D) cannot be determined with the information given.
Costs that a firm remaining in business will still incur even if it halts current production are called
a. fixed costs. b. variable costs. c. implicit costs. d. explicit costs.
The largest component of GDP is:
a. durable goods. b. net exports. c. personal consumption expenditures. d. government spending.