Nash Equilibrium in Game Theory

A situation where players keep changing their strategies to gain more payoff

A situation where each player tries to maximize their own payoff without considering others' strategies

A situation where no player can increase their payoff by unilaterally changing their strategy (correct)

A situation where players collaborate to maximize their collective payoff

When Alice has no other strategy that does better than A in response to Bob choosing B, and Bob has no other strategy that does better than B in response to Alice choosing A (correct)

When Alice and Bob both choose the same strategy

When Alice and Bob have equal payoffs with their chosen strategies

When Alice's strategy A is always better than Bob's strategy B

Used it for cooperative games

Ignored its significance in game theory

Developed it as a mathematical theorem

Applied it to competing firms choosing outputs (correct)

<p>There is a Nash equilibrium, possibly in mixed strategies, for every finite game</p> Signup and view all the answers

<p>A is Alice's best response to (B, C, D), B is Bob's best response to (A, C, D), and so forth</p> Signup and view all the answers