PBased on the informaiton you learned from the drug test game solved in the lecture, which of the following is FALSE? A. The drug test game has a unique Nash equilibrium B. When payoffs of one player change in a game, then the Nash equilibrium strategies of all players change C. Some games do not have a pure strategy Nash equilibrium
Question
PBased on the informaiton you learned from the drug test game solved in the lecture, which of the following is FALSE?
A.
The drug test game has a unique Nash equilibrium
B.
When payoffs of one player change in a game, then the Nash equilibrium strategies of all players change
C.
Some games do not have a pure strategy Nash equilibrium
Solution
The statement B is false. When the payoffs of one player change in a game, it does not necessarily mean that the Nash equilibrium strategies of all players will change. It depends on how the change in payoffs affects the best responses of the players. If the change in payoffs does not affect the best responses, then the Nash equilibrium strategies will not change.
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