Question

The study of how people make decisions in situations where attaining their goals depends on their interactions with others is called a. dominant strategy equilibrium.b. the prisoner's dilemma.c. game theory.d. Nash equilibrium.

Answer 1

Answer:

Option C, Game theory, is the right answer.

Explanation:

The “ Game Theory” is the correct answer because the game theory includes the interaction or takes into consideration of the interaction between the candidates of game theory in order to make profitable decisions. Moreover, in game theory when both the candidate equally benefits or equally loss then the situation is termed as Nash equilibrium. In addition to this, if the player (candidates) always gets greater utility then this is termed as the dominant strategy.