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Question 1
Consider the following contribution to public good as a prisoner's dilemma with the payoff matrix:



Person B
Do not contribute Contribute
Person A Do not contribute

A pays $0, receives $0, net gain $0

B pays $0, receives $0, net gain $0

A pays $0, receives $6, net gain $6

B pays $8, receives $6, net gain $-2

Contribute

A pays $8, receives $6, net gain $-2

B pays $0, receives $6, net gain $6

A pays $8, receives $12, net gain $4

B pays $8, receives $12, net gain $4



What is the dominant strategy for player A?

Hint


Question 2

What is the dominant strategy for player B?

Hint


Question 3

What is the Nash Equilibrium in this situation?

Hint