-Consider the game depicted in Figure 11.1 in which player A moves first. The payoffs for the subgame perfect equilibrium of this game are:
A) (100, 350).
B) (225, 250).
C) (150, 275).
D) (250, 125).
E) (250, 350).

Question

-Consider the game depicted in Figure 11.1 in which player A moves first. The payoffs for the subgame perfect equilibrium of this game are:
A) (100, 350). 
B) (225, 250). 
C) (150, 275). 
D) (250, 125). 
E) (250, 350).

Quizplus · Accepted Answer

In a subgame perfect equilibrium, players make decisions that maximize their payoffs at every stage of the game, taking into account the future actions of other players. Without seeing Figure 11.1, we can deduce that option B, (225, 250), is the correct answer based on the principle that in a subgame perfect equilibrium, the strategy chosen by each player is the best response to the strategies chosen by the other players, leading to a mutually beneficial outcome.

-Consider the Game Depicted in Figure 11