Game Theory — non-cooperative games. - One Line Questions

1. What is an 'information set' in a game of imperfect information? — A collection of nodes where a player cannot distinguish which node they are at.
2. A situation in a non-cooperative game where no player can improve their payoff by unilaterally changing their strategy is called: — A Nash equilibrium.
3. What is the 'discount factor' (delta) in the context of repeated games? — A measure of how much players value future payoffs relative to current payoffs.
4. In a two-player zero-sum game, if a saddle point exists, it corresponds to: — A Nash equilibrium in pure strategies.
5. What is the 'extensive form' of a game? — A representation of the game as a decision tree, showing sequences of moves and information sets.
6. In game theory, what does a 'strategy' represent for a player? — A complete plan of action for every possible situation.
7. Which of the following best describes the concept of 'correlated equilibrium'? — A situation where players' strategies are correlated through an external mediator or signal.
8. What is a 'mixed strategy' in game theory? — A strategy that involves a combination of pure strategies with certain probabilities.
9. What is a 'pure strategy' in game theory? — A strategy where a player chooses a single action with certainty.
10. What does the term 'payoff matrix' represent in a non-cooperative game? — A table showing the payoffs for each player for every possible combination of strategies.
11. The Minimax Theorem, by John von Neumann, applies to: — Finite zero-sum games.
12. If a game has a dominant strategy equilibrium, it implies that: — All players have a unique best response to every possible strategy of the other players.
13. The concept of 'repeated games' extends non-cooperative game theory by: — Allowing the same game to be played multiple times.
14. The 'Folk Theorem' in repeated games suggests that: — Any feasible and individually rational payoff profile can be sustained as a Nash equilibrium in an infinitely repeated game.
15. A game is considered to have 'perfect information' if: — At every decision point, the player knows the complete history of the game.
16. A 'Pareto improvement' is a change to a different outcome where: — At least one player is better off, and no player is worse off.
17. Which of the following is NOT a characteristic of non-cooperative games? — Binding agreements are possible.
18. In the Prisoner's Dilemma, the Nash equilibrium results in: — Both players defecting and receiving a harsher sentence than if they had cooperated.
19. The Prisoner's Dilemma is a classic example of a non-cooperative game. In this game, the dominant strategy for both players is typically: — Defect
20. A Nash equilibrium in mixed strategies exists when: — Each player's mixed strategy is a best response to the other players' mixed strategies.
21. In a game of imperfect information, a player's strategy must specify an action for: — Every information set they might face.
22. A strategy profile is subgame perfect if it represents a Nash equilibrium in: — Every subgame of the original game.
23. The concept of backward induction is used to find subgame perfect Nash equilibria in: — Finite horizon sequential games.
24. What does the concept of 'subgame perfection' apply to in non-cooperative game theory? — Sequential games.
25. What is the primary difference between cooperative and non-cooperative game theory? — In cooperative games, binding agreements are possible; in non-cooperative games, they are not.
26. Bayesian Nash Equilibrium is a solution concept for games with: — Incomplete information.
27. In non-cooperative game theory, the focus is on: — Individual players' optimal strategies given the strategies of others.
28. A 'threat' in a sequential game is credible if: — It is in the best interest of the player making the threat to carry it out if the condition arises.
29. What characterizes a 'dominant strategy' in a non-cooperative game? — It yields the best payoff regardless of the other players' strategies.
30. What is the 'maximin' strategy in a zero-sum game? — Maximizing the minimum possible payoff.
31. What is the 'minimax' strategy in a zero-sum game? — Minimizing the maximum possible loss.
32. A 'Pareto efficient' outcome is one where: — No Pareto improvement is possible.
33. Subgame perfection eliminates Nash equilibria that rely on: — Non-credible threats.
34. Which of the following is a common application of non-cooperative game theory? — Oligopoly pricing decisions.
35. Which of the following is a key assumption for applying the concept of Nash equilibrium? — Players are rational and seek to maximize their own payoffs.
36. In an infinitely repeated Prisoner's Dilemma, cooperation can be sustained as a Nash equilibrium if: — Players are sufficiently patient (discount factor is high).
37. What is the fundamental assumption of a non-cooperative game? — Players act independently to maximize their own payoffs.
38. Which solution concept is most appropriate for analyzing a situation where players might not fully trust each other's rationality? — Rationalizability.
39. A strategy profile is 'iteratively strictly dominated' if it can be eliminated by: — Repeatedly removing strictly dominated strategies.
40. The concept of 'rationalizability' is a refinement of Nash equilibrium that eliminates: — Strategies that are not best responses to any belief about opponents' strategies.
41. In a game of incomplete information, what does a player not know? — The payoffs of other players.
42. Which theorem guarantees the existence of at least one Nash equilibrium (possibly in mixed strategies) for any finite non-cooperative game? — Nash's Existence Theorem
43. What is the main challenge in analyzing games with a large number of players? — The combinatorial explosion of strategy profiles and the difficulty of finding equilibria.
44. Consider a sequential game. Backward induction starts by determining the optimal strategy at: — The last decision nodes.
45. A 'saddle point' in a payoff matrix of a zero-sum game is an entry that is: — The minimum of its row and the maximum of its column.
46. The 'normal form' of a game is equivalent to: — The strategic form or payoff matrix.
47. In a zero-sum game, what is the relationship between the payoffs of the players? — The sum of the payoffs is always zero.
48. In a game with imperfect information, players must form beliefs about: — Which information set they are in.
49. In a simultaneous move game, players choose their strategies: — Without knowing the strategy chosen by the other player.
All One Line Questions
E-Book Game Theory — non-cooperative games. Online Test Game Theory — non-cooperative games. Question Bank Game Theory — non-cooperative games.