Self-test on dominant strategies, dominated strategies, and Nash equilibrium

                                     Left            Right
                   Up               10,3              1,1
                   Down             2,2              3,10
4_3 Which of the following are Nash equilibria?
A. Up, Left
B. Up, Right
C. Down, Left
D. Down, Right

D. CORRECT. Neither player can gain by deviating.

There is another equilibrium, too, though, so keep looking. If there is a dominant strategy equilbrium, it is unique, but that is not true of Nash equilibria.

Return to Self Test 1.

Send comments to Prof. Rasmusen. Last updated: October 30, 1996