In Nash equilibrium:

A) Both players can change strategies but neither can improve their payout

B) Neither player can change their strategy

C) Only one player can change his payoffs by changing strategies

D) Both player can change their strategy but only player can improve their payout

People's interactions with each other in market and non-market setting are governed by __.

A) institutions

B) economics

C) laws

D) history

When people harvest fish, wood or water from sources held in common, they enjoy the full benefit of what they harvest __, much of which falls on others as harvesting becomes more difficult or conflict breaks out.

A) and bear only a fraction of the cost

B) and bear most of the cost

C) and bear none of the cost

D) and bear the full cost

Norms dictating that any community member earning unusually high income give transfers to members with lower incomes _ individuals' incentives to invest and innovate, because individuals must bear _ of innovation while expecting to enjoy __ the returns.

A) increase; the full cost; all of

B) reduce; the full cost; only a fraction of

C) increase; a fraction of the cost; only a fraction

D) reduce; a fraction of the cost; all of

Reciprocity is measured in a laboratory game using a :

A) public good game

B) trust game

C) ultimatum game

D) assurance game