Which of the following is true of a Nash equilibrium?
A)At least one of the players need to have a dominant strategy to arrive at a Nash equilibrium.
B)In a Nash equilibrium,one player has an incentive to change his strategy in order to increase his profit.
C)Each player's strategy in a Nash equilibrium is the best possible strategy given the strategy of the other player.
D)In order to arrive at a Nash equilibrium,it is necessary for both players to credibly commit to a course of action.

Question

Quizplus · Accepted Answer

A Nash equilibrium occurs when each player's strategy is the best possible given the strategy of the other player. It does not require a dominant strategy for either player, and it is not in either player's best interest to change their strategy unilaterally. Credibility of commitment is not necessary to reach a Nash equilibrium.

Which of the Following Is True of a Nash Equilibrium