Solving for dominant strategies and the Nash equilibrium Suppose Carlos and Deborah are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Carlos chooses Right and Deborah chooses Right, Carlos will receive a payoff of 3 and Deborah will receive a payoff of 7.
Deborah Left Right Carlos Left 4, 6 6, 8 Right 7, 5 3, 7
The only dominant strategy in this game is for to choose. The outcome reflecting the unique Nash equilibrium in this game is as follows: Carlos chooses and Deborah chooses .