Table 12.1 Utility Payoffs to Thief 1 and Thief 2 in a Classic Prisoners' Dilemma Game Payoffs are given as utility where U = 10-years in Jail -According to,what is the Nash equilibrium of this game?

Question

Quizplus · Accepted Answer

The Nash equilibrium of this game is for both players to confess. This is because if one player remains silent and the other confesses, the confessor will only receive 2-years in jail (the lowest possible outcome) while the silent player will receive 15-years in jail (the highest possible outcome). Therefore, both players have an incentive to confess regardless of the other player's choice, making it the only stable outcome.

Table 12.1 Utility Payoffs to Thief 1 and Thief 2 in a in a Classic