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Given the following: if Shirley believes Betsy will behave in a self-interested

ID: 2443365 • Letter: G

Question

Given the following: if Shirley believes Betsy will behave in a self-interested way, Shirley will Betsy defect cooperate 0 for Betsy 3 for Shirley 2 for each defect 1 for each Shirley 3 for Betsy 0 for Shirley cooperate O predict that Betsy will cooperate, and so Shirley will also cooperate. O predict that Betsy will cooperate, and so Shirley will decide to defect. O predict that Betsy will defect, and so Shirley will also defect. O predict that Betsy will defect, and so Shirley will decide to cooperate.

Explanation / Answer

If Betsy plays self interestedly then he will cooperate because he has highest payoff 3 in that case

Shirley knows about it and if she play anything other than co operate she will have 0 payoff and therefore she too cooperates

Option A is correct

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