The "arms race" is similar to which of the following economic scenarios?

Question

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The prisoners' dilemma is the most similar economic scenario to the arms race because both involve two parties making decisions that can either benefit or harm themselves and the other party. In the prisoners' dilemma, two suspects are faced with the choice to cooperate with each other or betray each other in a criminal investigation. Similarly, in an arms race, countries are faced with the choice to build up their military capabilities or not, which can either benefit them if their rivals do not build up their military, or harm them if their rivals also build up their military. Both scenarios involve the potential for a "mutually assured destruction" outcome if both parties choose to pursue their own self-interest at the expense of the other.

The "Arms Race" Is Similar to Which of the Following