Exhibit 24-10

Suppose that the letter grade earned on a test for each student in a class depends upon how well he\she does relative to other students in the class. This exhibit shows a prisoner's dilemma setting for two representative students in the class, George and Gina.
Refer to Exhibit 24-10. If Gina studies for two hours and George studies for four hours, George's letter grade on the test will be a ___________ and Gina's letter grade on the test will be a __________________.

Question

Exhibit 24-10

Suppose that the letter grade earned on a test for each student in a class depends upon how well he\she does relative to other students in the class.  This exhibit shows a prisoner's dilemma setting for two representative students in the class, George and Gina.
Refer to Exhibit 24-10.  If Gina studies for two hours and George studies for four hours, George's letter grade on the test will be a ___________ and Gina's letter grade on the test will be a __________________.

Quizplus · Accepted Answer

In this situation, George and Gina are in a prisoner's dilemma setting where the best outcome for each of them individually depends on the actions of the other. If Gina studies for two hours, George can get a better grade by studying for four hours instead of two. However, if both of them choose to study for four hours, they both get higher grades. Therefore, the dominant strategy for George is to study for four hours, regardless of what Gina does. Similarly, the dominant strategy for Gina is to not study, as studying for two hours would still result in a lower grade than if both of them didn't study. As a result, George's grade will be A and Gina's grade will be C.

Exhibit 24-10 Suppose That the Letter Grade Earned on a Test for a Test