Moderate

A dominant strategy is ?

Correct answer: D. a player's best strategy whatever the strategies adopted by rivals

  • A. a wining strategy
  • B. a losing strategy
  • C. a players best strategy when moving first
  • D. a player's best strategy whatever the strategies adopted by rivals

Explanation

A dominant strategy gives a player the best payoff regardless of which strategy the rival chooses. It is not defined by moving first or simply by winning.

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Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.

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