14-15: Encouraging Productivity; Repeated Games Flashcards
1
Q
What are incentives?
A
Alignment between behavior you desire and reward that other player recieves
2
Q
What is a supergame?
A
A master game in which subgames are repeated
3
Q
What is a stage game?
A
An individual game in a supergame
4
Q
What is an open-loop strategy?
A
A strategy that doesn’t depend on what the other player has done in prior games
5
Q
What is a closed-loop strategy?
A
A strategy that depends on what the other player has done in previous games
6
Q
What is the only subgame perfect equilibrium in a prisoners’ dilemma supergame?
A
Always defect
7
Q
What can fix the prisoners’ dilemma problem?
A
Having supergames of random length
