Question

1) What is meant be strategic behavior?

2)What is a cartel?

3) What is meant by a dominant strategy?

Please explain.

Answer 1

1. Answer: Stretegic behaviour refers to the decision taken by a player in a game which will influnce the actions and reactions of other player. In economics strategic brhavior are the decision taken by any firm or economic agent.

2. Answer: Cartel is a group or association of similar type of companies or businesses that collude with each other in order to earn maximum profit and dominate the market.

3. Answer: Dominant Strategy refers to that one strategy which is better than any other strategy, no matter how that player's opponents may play.