Lecture 4

Question 1

What is a nash equilibrium?

Answer 1

strategy profile where each player’s strategy is a best response to the other players’ strategies

Question 2

Can an individual strategy be a NE?

Answer 2

No, it can be part of it though

Question 3

Can a NE be pareto dominated? In a NE, can a player gain by changing only his own strategy unilaterally?

Answer 3

yes it can be dominated, and no

Question 4

Does every game have a NE?

Answer 4

Under some conditions the answer is yes

Question 5

Is the NE unique?

Answer 5

No. In many games we have multiple Nash equilibria

Question 6

If a Game has an IEDS solution, what does it mean about the game’s NE?

Answer 6

The IEDS solution is a NE. however, not every NE can be obtained through IEDS

Question 7

If a game has a solution by strict IEDS, then what does it say about the NE of the game?

Answer 7

the Strict IEDS solution of the game is the unique NE of the game

Question 8

If within a game, you find the NE, then this means in relation to IEDS

Answer 8

It must survive IEDS