Topic B Problem: Imagine you have two competing athletes who have the option to use an illegal and/or dangerous drug to enhance their performance (i.e., dope). If neither athlete dopes, then neither gains an advantage. If only one dopes, then that athlete gains a massive advantage over their competitor, reduced by the medical and legal risks of doping. However, if both athletes dope, the advantages cancel out, and only the risks remain, putting them both in a worse position than if neither had been doping.

What class concept best describes this situation? Using this class concept, what outcome do we expect from these two athletes? Are there any factors that could change the outcome predicted by this course concept?

Examples of class concepts:

• oligoploy
• monopolistic competition
• advertising
• game theory
• collusion
• cartel
• nash equilibrium
• prisoner's dilemma
• dominant strategy
• common resource
• factors of production
• production function
• marginal product of labour
• dimishing marginal product
• value of marginal product
• leisure
• capital