In the game in Scenario 13.14, each firm has a strategy that would not be chosen under any circumstances. This strategy is:
A) Q = 50.
B) Q = 100.
C) Q = 150.
D) "choose the same Q as the other player."
E) "choose a Q different from the other player's."

Question

Quizplus · Accepted Answer

In the context of game theory, a strategy that would not be chosen under any circumstances is a dominated strategy. In this scenario, producing Q = 150 is likely a dominated strategy because it may lead to lower payoffs compared to other strategies, regardless of what the other player does.

In the Game in Scenario 13