Consider the Matching Pennies game: Suppose both players use maximin strategies for this game.Is there a clear equilibrium outcome to the game in this case?
A)Yes,both players select heads
B)Yes,both players select tails
C)No,both players face the minimum payoff (-1)under both actions.
D)We do not have enough information to answer this question.

Question

Consider the Matching Pennies game:  Suppose both players use maximin strategies for this game.Is there a clear equilibrium outcome to the game in this case?
A)Yes,both players select heads 
B)Yes,both players select tails 
C)No,both players face the minimum payoff (-1)under both actions. 
D)We do not have enough information to answer this question.

Quizplus · Accepted Answer

In the Matching Pennies game, both players have two possible strategies: to choose heads or tails. If both players use maximin strategies, each one will choose the strategy that minimizes the maximum possible loss. However, in this game, both strategies have the same payoff structure, so neither strategy is better than the other. Therefore, there is no clear equilibrium outcome in this case. Both players face the minimum payoff (-1) under both actions, leading to a situation of mutual frustration or stalemate. Hence, the answer is C.

Consider the Matching Pennies Game: Suppose Both Players Use