In a mixed strategy equilibrium:
A) a player is indifferent between playing a dominated strategy and playing a non-dominated one.
B) players choose mixed strategies, but the mixed strategy chosen by each is not necessarily a best response to the mixed strategies chosen by the others.
C) players choose mixed strategies and the mixed strategy chosen by each is a best response to the mixed strategies chosen by the others.
D) a player is indifferent between playing a dominated strategy and playing a non-dominated one; and players choose mixed strategies and the mixed strategy chosen by each is a best response to the mixed strategies chosen by the others.

Question

Quizplus · Accepted Answer

In a mixed strategy equilibrium, players choose mixed strategies, and the mixed strategy chosen by each is a best response to the mixed strategies chosen by the others. This means that no player has an incentive to deviate from their chosen mixed strategy, given the strategies of the other players. In other words, each player is playing the best they can given the mixed strategies of the other players, and all players are playing in Nash equilibrium. Domination is not relevant in mixed strategies because players are choosing a probability distribution over their strategies, rather than a single strategy.

In a Mixed Strategy Equilibrium