What problem arises in coordination games with multiple equilibria?
A)Players have no incentive to coordinate.
B)The multiple equilibria mean that coordination yields no possible gain.
C)The equilibria make all players worse off.
D)It is difficult to achieve the commonly desired outcome.

Question

Quizplus · Accepted Answer

In coordination games with multiple equilibria, it becomes difficult to achieve the commonly desired outcome because players may have difficulty coordinating on a single equilibrium solution. As a result, they may end up in a suboptimal outcome or fail to reach any equilibrium at all.

What Problem Arises in Coordination Games with Multiple Equilibria