An action that makes otherwise empty threats or promises credible is called a(n)
A) Nash equilibrium.
B) commitment device.
C) strategic device.
D) dominant strategy.
E) prisoner's dilemma.

Question

Quizplus · Accepted Answer

A commitment device is an action taken to make otherwise empty threats or promises credible. This could include something like tying a consequence to a threat or a reward to a promise, which increases the likelihood of following through on the statement. The other options (Nash equilibrium, strategic device, dominant strategy, prisoner's dilemma) do not relate specifically to making threats or promises credible.

An Action That Makes Otherwise Empty Threats or Promises Credible