Dictionary :: Games

Glossary of game theory terms.

Prisoners' Dilemma

Scenario

Two conspirators are arrested and interrogated separately. If one implicates the other, he may go free while the other receives a life sentence. Yet, if both confess, bad fate befalls them. If both stay silent, insufficient evidence will lead them being charged with and convicted of a lesser crime.

Description

Each player has a dominant strategy. The resulting equilibrium is Pareto dominated by an alternate outcome in which each player plays the dominated strategy.

Example

Prisoner 2
deny confess
Prisoner 1 deny 2,2 0,3
confess 3,0 1,1

General Form

Player 2
L R
Player 1 U a,w b,x
D c,y d,z
Where the following relations hold:
c>a>d>b
x>w>z>y

updated: 12 August 2005
HOW TO CITE THIS ENTRY