ECON 1000 Chapter Notes - Chapter 14: Crown Attorney, Nash Equilibrium
10 Jan 2020
School
Department
Course
Professor
10
ECON 1000 Full Course Notes
Verified Note
10 documents
Document Summary
They will each receive 2 years for the crime. During the interviews, the crown attorney suspects that they were responsible for a major bank robbery a few months prior: each prisoner is placed in a separate room and cannot communicate with the other prisoner. Each is told that he is suspected of having carried out a bank robbery. If both of them confess, each will receive a 3-year sentence for the crimes. If both confess, each gets a sentence of 3 years. If both deny, each gets a sentence of 2 years. In the prisoners" dilemma, it"s in each prisoner"s best interest to confess. If prisoner 1 confesses, prisoner 2 should also confess in order to get 3 years instead of 2. If prisoner 1 denies, prisoner 2 should still confess in order to get 1 year instead of 2.
