Use the following case from question
Two roommates John and Joe are playing a simultaneous game of cleaning the apartment.If neither of them clean,the apartment gets filthy and both get a utility of 2.If John cleans and Joe doesn't,John gets a utility of 1 and Joe gets a utility of 4.If Joe cleans and John doesn't,Joe gets a utility of 1 and John gets a utility of 4 and if both clean up the apartment,they each get a utility of 3.
-Is the equilibrium efficient?
A)Yes,since they are both maximizing the utility
B)No,since they could both get more utility
C)One should keep the house clean
D)None of the above

Question

​Use the following case from question
Two roommates John and Joe are playing a simultaneous game of cleaning the apartment.If neither of them clean,the apartment gets filthy and both get a utility of 2.If John cleans and Joe doesn't,John gets a utility of 1 and Joe gets a utility of 4.If Joe cleans and John doesn't,Joe gets a utility of 1 and John gets a utility of 4 and if both clean up the apartment,they each get a utility of 3.
-​Is the equilibrium efficient?
A)​Yes,since they are both maximizing the utility
B)No,since they could both get more utility
C)One should keep the house clean
D)​None of the above

Quizplus · Accepted Answer

The equilibrium is not efficient because if both players chose to clean, they would each get a utility of 3, which is higher than the utility they get if neither cleans (2) or if only one cleans (1 for the cleaner, 4 for the non-cleaner). This means they could both get more utility than in the equilibrium where possibly neither cleans or only one does.

​Use the Following Case from Question

Use the Following Case from Question