About this question
Medium · Game Theory & Logic · Quant Trader interview question · game-theory, nash-equilibrium, coordination, prisoner-dilemma
Consider a two-player game. In the Stag Hunt, two hunters can choose to cooperate and hunt a stag, or defect and hunt a hare. If both hunters cooperate, they successfully catch the stag, and each receives a payoff of 4. If one hunter defects and the other cooperates, the defector catches a hare and receives a payoff of 3, while the cooperator receives a payoff of 0. If both hunters defect, they each catch a hare and receive a payoff of 2. In the Prisoner's Dilemma, two prisoners can choose to co