d e f a 53 35 85 b 12 02 93 c 63 24 89 Consider the strategi

d e f

a 5,3 3,5 8,5

b 1,2 0,2 9,3

c 6,3 2,4 8,9

Consider the strategic form game above. In this game, the following strategy profiles are inefficient (Please, select all that apply)

(B,E)

(B,F)

(C,D)

(C,E)

(A,D)

(A,F)

(B,D)

Solution

Inefficient strategies:

a) (B,E) is less efficient than (B,F) as both players can be made better off by playing the latter strategy

c) (C,D) is less efficient than (C,F)

d) (C,E) is less efficient than (C,F)

e) (A,D) is less efficient than (A,F)

g) (B,D) is less efficient than (B,F)