When an oligopoly market reaches a Nash equilibrium. a.the market price will be

Question

When an oligopoly market reaches a Nash equilibrium. a.the market price will be different for each firm b.the firms will not have behaved as profitmaximizers. c.a firm will have chosen its best strategy, given thestrategies chosen by other firms in the market. d.a firm will not take into account the strategies ofcompeting firms. When an oligopoly market reaches a Nash equilibrium. a.the market price will be different for each firm b.the firms will not have behaved as profitmaximizers. c.a firm will have chosen its best strategy, given thestrategies chosen by other firms in the market. d.a firm will not take into account the strategies ofcompeting firms.

Explanation / Answer

When an oligopoly market reaches a Nash equilibrium. a.the market price will be different for each firm b.the firms will not have behaved as profitmaximizers. c.a firm will have chosen its best strategy,given the strategies chosen by other firms in themarket. d.a firm will not take into account the strategies ofcompeting firms. ~ In game theory, Nashequilibrium (named after John Forbes Nash, who proposed it) is asolution concept of a game involving two or more players, in whicheach player is assumed to know the equilibrium strategies of theother players, and no player has anything to gain by changing onlyhis or her own strategy unilaterally

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.