Extensive Form Games

Question 1

Stackelberg Game

Answer 1

A strategic game where one player (the leader) moves first and the other (the follower) moves second, observing the leader’s action

Question 2

The Oil-Drilling Game

Answer 2

A game modelling resource competition where firms decide whether or not to drill, considering costs and potential profits based on rivals’ choices

Question 3

Trust Game

Answer 3

A game where one player decides how much to trust the other with a transfer, and the second player decides how much to return, testing reciprocity

Question 4

Centipede Game

Answer 4

A sequential game where players take turns choosing to continue or stop, with potential mutual gains increasing over time but at risk of defection

Question 5

Sequential Bargaining Game

Answer 5

A game where players alternate offers over how to split a surplus, with outcomes affected by time, patience, and potential breakdown

Question 6

Finitely repeated Prisoner’s Dilemma

Answer 6

A repeated PD game played a known number of times, often leading to defection throughout due to backward induction

Question 7

Infinitely repeated Prisoner’s Dilemma

Answer 7

A PD game repeated indefinitely, allowing cooperation to be sustained through strategies like tit-for-tat

Question 8

Game of Perfect Information

Answer 8

If, in a game, all information sets consist of a single decision node
E.g. Sequential games like Chess

Question 9

Game of Imperfect Information

Answer 9

If actions are taken simultaneously or remotely, as players cannot see each other’s actions
E.g. all normal form games