Game Theory Quizzes: Test Your Understanding of Strategic Interactions

Question 1

In a zero-sum game, the gains of one player are always:

Accepted Answer

Equal to the losses of the other player

Answer

Greater than the losses of the other player

Answer

Less than the losses of the other player

Answer

Independent of the other player's gains

Question 2

In a Nash equilibrium, each player's strategy:

Accepted Answer

Is a best response to the other players' strategies

Answer

Maximizes the player's payoff

Answer

Minimizes the player's payoff

Answer

Is random

Question 3

In a dominant strategy equilibrium:

Accepted Answer

There is only one dominant strategy for each player

Answer

Each player has multiple dominant strategies

Answer

There is no dominant strategy for any player

Answer

The dominant strategies of the players are always the same

Question 4

In a sequential game, the order of moves:

Accepted Answer

Is fixed and known to all players

Answer

Is random and unknown to the players

Answer

Can change dynamically based on the players' actions

Answer

Is irrelevant to the outcome of the game

Question 5

Which of the following is an example of an incomplete information game?

Accepted Answer

Poker

Answer

Rock-paper-scissors

Answer

Prisoner's dilemma

Answer

Tic-tac-toe

Question 6

In a cooperative game, the players:

Accepted Answer

Can communicate and make binding agreements

Answer

Cannot communicate or make agreements

Answer

Can only communicate through non-verbal signals

Answer

Must always play competitive strategies

Question 7

Which of the following is NOT a defining characteristic of a dominant strategy?

Accepted Answer

It is a strategy that may require cooperation with other players.

Answer

It is always the best choice, regardless of the actions of other players.

Answer

It maximizes the player's expected payoff.

Answer

It is a strategy that, once chosen, cannot be improved upon.

Question 8

In a zero-sum game, the gains of one player are:

Accepted Answer

Always equal to the losses of the other player.

Answer

Always greater than the losses of the other player.

Answer

Always less than the losses of the other player.

Answer

Unrelated to the gains or losses of the other player.

Question 9

Which of the following is a common application of game theory in the field of economics?

Accepted Answer

Analyzing strategic interactions in markets.

Answer

Predicting the preferences of individual consumers.

Answer

Forecasting macroeconomic indicators like inflation.

Answer

Evaluating the effectiveness of government regulations.

Question 10

In a sequential game, the sequence of play:

Accepted Answer

Is固定and known in advance.

Answer

Is determined by the players themselves.

Answer

Is random and unpredictable.

Answer

Can change during the course of the game.

Question 11

Which of the following is a fundamental concept in evolutionary game theory?

Accepted Answer

Replicator dynamics.

Answer

Nash equilibrium.

Answer

Prisoner's dilemma.

Answer

Backward induction.

Question 12

In a game with complete information, players:

Accepted Answer

Have knowledge of all possible actions and their associated outcomes.

Answer

Have limited knowledge about the actions and outcomes of other players.

Answer

Have perfect knowledge of past actions but limited knowledge of future actions.

Answer

Receive no information about the actions or outcomes of other players.

Question 13

In the prisoner's dilemma game, the Nash equilibrium outcome is:

Accepted Answer

For both players to defect.

Answer

For both players to cooperate.

Answer

For one player to cooperate and the other to defect.

Answer

For either player to cooperate or defect.

Question 14

In a Cournot oligopoly model, the equilibrium price generally:

Accepted Answer

Is lower than the monopoly price.

Answer

Is higher than the monopoly price.

Answer

Is equal to the monopoly price.

Answer

Cannot be determined without more information.

Question 15

Which of the following is NOT a limitation of game theory?

Accepted Answer

Consideration of the influence of emotions and heuristics in decision-making.

Answer

The assumption of rational behavior by all players.

Answer

Potential inapplicability to situations with incomplete information.

Answer

Possible difficulty in applying it to complex economic scenarios.

Question 16

Which of the following is NOT a characteristic of a Nash Equilibrium?

Accepted Answer

The outcome is always fair to all players.

Answer

No player can improve their outcome by unilaterally changing their strategy.

Answer

It can occur in both competitive and cooperative games.

Question 17

Which of the following is a fundamental characteristic of game theory?

Accepted Answer

Emphasis on rational decision-making

Answer

Complete knowledge of all players' strategies

Answer

Focus on non-competitive interactions

Answer

Assumption of risk-averse behavior

Question 18

In a zero-sum game, the outcome for one player:

Accepted Answer

Is directly dependent on the actions of other players

Answer

Is independent of the actions of other players

Answer

Can be negative or zero

Answer

Is always a win

Question 19

In a Nash equilibrium, each player's strategy is:

Accepted Answer

A best response to the strategies of all other players

Answer

A dominant strategy

Answer

Always the same as the other players' strategies

Answer

Always random

Question 20

In a repeated game, players:

Accepted Answer

Can potentially learn from their past interactions

Answer

Cannot influence the actions of other players

Answer

Always cooperate with each other

Answer

Only interact once

Question 21

Which of the following statements about Nash Equilibrium is incorrect?

Accepted Answer

Nash Equilibrium always leads to the most efficient outcome for all players.

Accepted Answer

Nash Equilibrium requires players to work together.

Answer

Players cannot improve their outcome by changing their strategy unilaterally.

Answer

Nash Equilibrium can occur in both competitive and cooperative games.

Question 22

Which of the following accurately describes game theory?

Accepted Answer

Involves analyzing strategic decision-making in situations with multiple participants

Answer

Assumes perfect information and perfect rationality of all participants

Answer

Focuses solely on individual decision-making without considering interactions

Answer

Emphasizes cooperation and negotiation as the only possible outcomes

Question 23

In a zero-sum game, the gains of one player are:

Accepted Answer

Always equal to the losses of another player

Answer

Independent of the actions of other players

Answer

Always negative

Answer

Impossible to predict without knowing the specific game

Question 24

Which of the following is the definition of a Nash equilibrium?

Accepted Answer

A set of strategies where no player can improve their outcome by changing their strategy, assuming other players' strategies remain unchanged

Answer

A strategy that maximizes the total benefit for all players

Answer

A strategy that prevents any player from losing

Answer

A strategy that guarantees a fair outcome for all players

Question 25

In a prisoners' dilemma game, the dominant strategy for each player is to:

Accepted Answer

Defect

Answer

Cooperate

Answer

Randomly choose between cooperating and defecting

Answer

Communicate with the other player to reach an agreement

Question 26

Which of the following assumptions is fundamental to game theory?

Accepted Answer

Players are rational and self-interested

Answer

Players have perfect information about the game and the actions of other players

Answer

Games are always zero-sum

Answer

Players are always able to communicate and cooperate with each other

Question 27

In a dominant strategy equilibrium, each player has:

Accepted Answer

Exactly one dominant strategy

Answer

Multiple dominant strategies

Answer

No dominant strategies

Answer

A dominant strategy that is always Pareto efficient

Question 28

In a sequential game, the player who moves first has an advantage known as:

Accepted Answer

First-mover advantage

Answer

Stackelberg advantage

Answer

Cournot advantage

Answer

Bertrand advantage

Question 29

A key assumption of the Prisoner's Dilemma game is that:

Accepted Answer

Players are selfish and seek to maximize their individual payoff.

Answer

Players cooperate to maximize their collective payoff.

Answer

Players can communicate with each other before making their decisions.

Answer

The game is played only once.

Question 30

In a Nash Equilibrium, each player's strategy is:

Accepted Answer

The best response to the other player's strategy.

Answer

The worst response to the other player's strategy.

Answer

Random and unpredictable.

Answer

Based on the cooperation of all players.

Question 31

In a zero-sum game, the total payoff to all players:

Accepted Answer

Is always zero.

Answer

Can be positive or negative.

Answer

Varies depending on the strategies chosen.

Answer

Can be greater than the sum of the individual players' payoffs.

Question 32

What is a **disadvantage** of using game theory?

Accepted Answer

Assumes players are always rational.

Answer

Can be used to analyze complex interactions.

Answer

Can provide insights into optimal strategies.

Question 33

In a cooperative game, the players' interests are:

Accepted Answer

Aligned

Answer

Completely opposed

Answer

Unpredictable

Answer

Independent

Question 34

In a game with asymmetric information, players face the challenge of:

Accepted Answer

Making decisions based on incomplete or imperfect information

Answer

Coordinating strategies even with complete information

Answer

Predicting the behavior of other players with perfect information

Question 35

How does evolutionary game theory help us understand how strategic behaviors develop and change in biological and social systems?

Accepted Answer

Explores how strategies evolve through natural selection and genetic inheritance.

Answer

Assumes players know the game and their opponents' strategies perfectly.

Answer

Only applies to games with a small number of players and strategies.

Question 36

Which of the following is a fundamental concept in game theory?

Accepted Answer

Strategic interaction between decision-makers

Answer

Marginal utility theory

Answer

General equilibrium analysis

Answer

Linear programming techniques

Question 37

In a zero-sum game, the gains of one player are:

Accepted Answer

Precisely offset by the losses of the other player

Answer

Always greater than the losses of the other player

Answer

Independent of the actions of the other player

Answer

Proportional to the number of available strategies

Question 38

The Nash equilibrium is a solution concept that describes:

Accepted Answer

A set of strategies where no player can unilaterally improve their outcome by changing their strategy

Answer

A situation where all players receive the maximum possible payoff

Question 39

Which of the following is an economic application of game theory?

Accepted Answer

Analyzing strategic interactions in competitive markets

Answer

Measuring consumer preferences and utility

Answer

Predicting economic growth patterns

Answer

Calculating national income and GDP

Question 40

In a repeated game, the actions of players in previous rounds can:

Accepted Answer

Influence the strategies they adopt in subsequent rounds

Answer

Have no bearing on future rounds

Answer

Be accurately predicted by other players

Question 41

The minimax solution is a strategy that seeks to:

Accepted Answer

Minimize the potential maximum loss

Answer

Always align with the Nash equilibrium outcome

Answer

Maximize the potential minimum gain

Answer

Guarantee a fair outcome for both players

Question 42

In a dominant strategy equilibrium:

Accepted Answer

Each player has a strategy that is optimal regardless of the actions of the other player

Answer

Both players adopt the same strategy

Answer

The outcome is always equitable for both players

Question 43

Which of the following is NOT a criticism leveled against game theory?

Accepted Answer

It assumes players are consistently rational decision-makers

Answer

It fails to account for the influence of emotions in decision-making

Answer

It can be challenging to apply to real-world scenarios

Answer

It relies on overly simplified models of human behavior

Question 44

In a game with dominant strategies, each rational player will:

Accepted Answer

Choose the strategy that yields the highest payoff, irrespective of the choices made by other players.

Answer

Choose the strategy that maximizes their opponent's payoff.

Answer

Randomly pick a strategy.

Question 45

Which of the following is an example of a non-cooperative game where communication or binding agreements are not allowed?

Accepted Answer

Prisoner's Dilemma

Answer

Duopoly

Answer

Oligopoly

Answer

Monopoly

Question 46

Nash Equilibrium is achieved when:

Accepted Answer

No player has an incentive to unilaterally change their strategy to improve their payoff, given the strategies of the other players.

Answer

All players receive the same payoff.

Answer

The game ends in a stalemate.

Question 47

The minimax strategy is employed to:

Accepted Answer

Select the action that minimizes the maximum potential loss in the worst-case scenario.

Answer

Choose the action with the highest average payoff.

Answer

Maximize the maximum potential gain.

Question 48

In a game characterized by perfect information, each player:

Accepted Answer

Has full knowledge of their opponents' actions and payoffs throughout the game.

Answer

Has limited information about the game.

Answer

Can predict future moves of their opponents with certainty.

Question 49

Which of the following methods is commonly used to analyze and solve sequential games?

Accepted Answer

Backward induction

Answer

Minimax algorithm

Answer

Nash Equilibrium analysis

Answer

Dominant strategy analysis

Question 50

The concept of subgame perfection is used to:

Accepted Answer

Identify credible threats and promises, thereby refining Nash Equilibrium outcomes.

Answer

Solve cooperative games.

Answer

Determine the dominant strategy in a game.

Question 51

An example of an extensive form game is:

Accepted Answer

Chess

Answer

Oligopoly

Answer

Monopoly

Answer

Prisoner's Dilemma

Question 52

The Shapley value is used in cooperative game theory to:

Accepted Answer

Equitably distribute the benefits of cooperation among players.

Answer

Calculate the Nash Equilibrium in a game.

Answer

Solve non-cooperative games.