A "Credible Threat"
A) is also called a "tit-for-tat" strategy.
B) always set a low price.
C) minimizes the return of your opponent.
D) is a strategy selection that is in your best interest.
E) provides the best return for both players.

Question

Quizplus · Accepted Answer

A credible threat is a strategy selection that is in your best interest. It is a threat that you can actually carry out and is persuasive enough to deter your opponent from taking an action that is against your interests. By making a credible threat, you can shape the behavior of your opponent and achieve a favorable outcome for yourself.