Table 17-19.The Chicken Game is named for a contest in which drivers test their courage by driving straight at each other.John and Paul have a common interest to avoid crashing into each other,but they also have a personal,competing interest to not turn first to demonstrate their courage to those observing the contest.The payoff table for this situation is provided below.The payoffs are shown as (John,Paul).

-Refer to Table 17-19.What is Paul's dominant strategy?

Question

Table 17-19.The Chicken Game is named for a contest in which drivers test their courage by driving straight at each other.John and Paul have a common interest to avoid crashing into each other,but they also have a personal,competing interest to not turn first to demonstrate their courage to those observing the contest.The payoff table for this situation is provided below.The payoffs are shown as (John,Paul).
 
-Refer to Table 17-19.What is Paul's dominant strategy?

Quizplus · Accepted Answer

A dominant strategy is a strategy that always provides the highest payoff regardless of what the other player chooses. In this case, Paul does not have a dominant strategy because his optimal choice depends on what John does. If John drives straight, Paul should also drive straight to avoid the crash (4,4), but if John turns, Paul should turn as well to avoid being seen as a coward (-2,-2). Therefore, Paul should make his decision based on his belief about what John will do, and there is no one best choice for him.