In order for the first player to move in a sequential game to be able to gain an advantage from making the first move, the player must:
A) possess a dominant strategy that is better than the other player’s dominant strategy.
B) be able to achieve a higher maximum payoff than the other player.
C) follow the same strategy he would pursue in a Nash equilibrium.
D) be able to make a credible commitment to the strategy.
ANSWER
D
Place an order in 3 easy steps. Takes less than 5 mins.