The "dilemma" in a prisoner's dilemma refers to the fact that
A) only one of the players is able to achieve their highest payoff in a Nash equilibrium.
B) both players would be better off by cooperating, but not cooperating is a dominant strategy.
C) both players would be better off by not cooperating, but cooperating is a dominant strategy.
D) the player that moves first always gets the worst outcome.

Question

Quizplus · Accepted Answer

The "dilemma" in a prisoner's dilemma arises because while both players would achieve a better outcome by cooperating, the dominant strategy for each, given the uncertainty of the other's action, is to not cooperate. This leads to a suboptimal outcome for both.

The "Dilemma" in a Prisoner's Dilemma Refers to the Fact