In game theory,a strategy that represents the best choice for a firm no matter what the other firm does is termed
A) a dominant strategy.
B) a Nash equilibrium.
C) a prisoners' dilemma.
D) a duopolists' dilemma.

Question

Quizplus · Accepted Answer

A dominant strategy is the best choice for a firm regardless of what the other firm does. This means that the firm will always choose this strategy, regardless of the actions of its competitors. This ensures that the firm maximizes its own profits, regardless of what its competition does. Therefore, in game theory, the dominant strategy is considered the best choice for a firm.

In Game Theory,a Strategy That Represents the Best Choice for a Firm