In a repeated game, punishments that result in heavy damages are an incentive for players to adopt the strategies that result in a ________ equilibrium.
A) contestable
B) strategic
C) cooperative
D) winner-share-all

Question

Quizplus · Accepted Answer

In a repeated game, heavy punishments deter players from deviating from cooperative strategies, thus encouraging a cooperative equilibrium where players work together for mutual benefit.

In a Repeated Game, Punishments That Result in Heavy Damages