Strategic interaction refers to:
A)the fact that economic actors' interaction affects the outcome.
B)the fact that economic actors plan ahead.
C)the fact that economic actors are rational actors.
D)the fact that economic actors maximize an objective function.

Question

Quizplus · Accepted Answer

Strategic interaction refers to the fact that economic actors' interaction affects the outcome. It is concerned with how actors' choices and actions affect and are affected by the choices and actions of others. Strategic interaction is studied through game theory, which allows for the analysis of decision-making in situations where the outcome depends on the decisions of multiple individuals or groups. Therefore, choice A is the best answer.

Strategic Interaction Refers To