Suppose Jordan and Lee are trying to decide what to do on a Friday.Jordan would prefer to see a comedy while Lee would prefer to see a documentary.One documentary and one comedy are showing at the local cinema.The benefit they receive from seeing the films either together or separately are shown in the payoff matrix.Both Jordan and Lee know the information contained in the payoff matrix.They purchase their tickets simultaneously,ignorant of the other's choice. $\begin{array}{c}
\quad \quad \quad \quad \quad \quad\quad\quad\quad\quad\quad \quad \text { Jordan } \
\text {Lee }
\begin{array}{|l|l|l|}
\hline &{\text { Comedy }} & {\text { Documentary }} \
\hline \text { Comedy } & \text { Lee: } 3 & \text { Lee: } 1 \
\text { Jordan: } 5 & \text { Jordan: } 1 \
\hline \text { Documentary } & \text { Lee } 2 & \text { Lee: } 5 \
& \text { Jordan: } 2 & \text { Jordan } 3 \
\hline
\end{array}\end{array}$
Refer to the figure above.This game:
A)is a prisoner's dilemma.
B)is not a prisoner's dilemma.
C)is an ultimatum bargaining game.
D)has no Nash equilibrium.

Question

Suppose Jordan and Lee are trying to decide what to do on a Friday.Jordan would prefer to see a comedy while Lee would prefer to see a documentary.One documentary and one comedy are showing at the local cinema.The benefit they receive from seeing the films either together or separately are shown in the payoff matrix.Both Jordan and Lee know the information contained in the payoff matrix.They purchase their tickets simultaneously,ignorant of the other's choice. $\begin{array}{c}
\quad \quad \quad \quad \quad \quad\quad\quad\quad\quad\quad \quad \text { Jordan } \
\text {Lee  } 
\begin{array}{|l|l|l|}
\hline &{\text { Comedy }} & {\text { Documentary }} \
\hline \text { Comedy } & \text { Lee: } 3 & \text { Lee: } 1 \
\text { Jordan: } 5 & \text { Jordan: } 1 \
\hline \text { Documentary } & \text { Lee } 2 & \text { Lee: } 5 \
& \text { Jordan: } 2 & \text { Jordan } 3 \
\hline
\end{array}\end{array}$
Refer to the figure above.This game:
A)is a prisoner's dilemma.
B)is not a prisoner's dilemma.
C)is an ultimatum bargaining game.
D)has no Nash equilibrium.

Quizplus · Accepted Answer

This game is not a prisoner's dilemma because the optimal outcome for both players is not to defect from a cooperative strategy. Instead, the game resembles a coordination game where both players have a higher payoff when they coordinate their choices (either both choose Comedy or both choose Documentary).

Suppose Jordan and Lee Are Trying to Decide What to Do