A game may be zero-sum in the short run but have scope for mutual benefit in...

A game may be zero-sum in the short run but have scope for mutual benefit in the long run.

True

False

Expert Solution

The given statement is true. A zero sum game is a situation where two or more players are involved in such a way that one player's gain is equivalent to another player's loss and the net change in wealth is zero. It is often seen in short run. For example : Trading in futures and forwards in financial market.

However, This zero sum game may have scope to turn out to be positive sum game in the long run where parties involve have win- win situation for all. That is all are mutually benefitted. For Example: trade agreement between two nations or a group of nation where trade benefits all members involved.

Rahul Sunny answered 2 years ago

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A game may be zero-sum in the short run but have scope for mutual benefit in...

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Provide an example of a strictly competitive game that is not a zero-sum game.

Consider a following zero-sum game of two players a) Reduce the initial game to a 2x2...

Consider a following zero-sum game of two players a) Reduce the initial game to a 2x2...

Is trade a zero sum game, i.e. are there any losers to increased liberalization?

Explain why win-win situation is better than trade is a zero-sum game.

Discuss how the beliefs of the Mercantilists about a zero sum game were challenged by Adam...

Question 19 In a perfectly competitive market, a firm may have losses in the short run....

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