The noncooperative equilibrium of a prisoners' dilemma game can be avoided if the game is played repeatedly and firms engage in strategic behavior.

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When the prisoners' dilemma game is played repeatedly, firms can engage in strategic behavior by employing various strategies like "tit-for-tat" or "forgiving" strategy, which can lead to the cooperation equilibrium. With repeated interactions, firms have an incentive to cooperate as a means of maintaining a good reputation and avoiding retaliation from the other player. Therefore, the noncooperative equilibrium of the prisoners' dilemma game can be avoided if the game is played repeatedly and firms engage in strategic behavior.

The Noncooperative Equilibrium of a Prisoners' Dilemma Game Can Be