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

GAME 2

                                         Column
                                    Left         Right
                Up                -10,0         -1,-1
 Row                                         
                Down              -8,-8          0,-10

2_2 Which of the following is true?
A. Column has no dominated strategies.
B. Column's strategy of Left is dominated.
C. Column's strategy of Right is dominated.

C. CORRECT. Right is dominated, because Column gets a payoff of -1 from it if Row goes Up, compared with a payoff of 0 from Left; and a payoff of -10 from it if Row goes Down, compared with a payoff of -8 from Left.

Return to Self Test 1.

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