Elly owns a small coffee shop. She has only one employee. One weekend, she decided to take a break from work. She is wondering whether she should trust her employee to run the shop in her absence. If she does not trust him, she would have to keep the shop closed, in which case neither she nor her employee will be able to make money. On the other hand, if she trusts him, he can either cooperate and run the shop, or he can defect and steal from the shop. If he cooperates, both of them will earn money. If he steals from the shop, he will make more money while she will lose.
Refer to the scenario above. Elly should use ________ to make her decision.
A) mixed strategies
B) backward induction
C) forward induction
D) her dominated strategy

Question

12-12-2019
Business

contestada

Elly owns a small coffee shop. She has only one employee. One weekend, she decided to take a break from work. She is wondering whether she should trust her employee to run the shop in her absence. If she does not trust him, she would have to keep the shop closed, in which case neither she nor her employee will be able to make money. On the other hand, if she trusts him, he can either cooperate and run the shop, or he can defect and steal from the shop. If he cooperates, both of them will earn money. If he steals from the shop, he will make more money while she will lose.
Refer to the scenario above. Elly should use ________ to make her decision.
A) mixed strategies
B) backward induction
C) forward induction
D) her dominated strategy

Respuesta :

Otras preguntas

Fill in the blanks with the correct present tense form of the reflexive verb in parentheses. there are two parts to each reflexive verb and therefore are two bl

Griffin says that photographers 'tap into something' when connecting to the viewer. What is the 'something' that they tap into and did you learn about this duri

What checks and balances exist between the branches of government?

what are two groups in anerican society who were suspected of communists activity and were targeted during the second Red Scare

Where would you be more likely to find a scale of 1 inch equals 1,500 miles on a map of a city, a state, or the world?

Which of the following is the correct in-text citation for a quote on page 75 in the book beyond words: what animals think and feel by Carl Saginaw?

Which sentence in this excerpt from Susan B. Anthony’s “On Women’s Right to Vote” reveals the purpose of the speech? Friends and fellow citizens: I stand before

Which of the choices shown are the lengths of the sides of a right triangle? A) 1, 1, 2 Eliminate B) 5, 6, 12 C) 3, 5, 8 D) 10, 24, 26

_______ was an impressionist painting technique in which paint was applied very thickly to the canvas, typically with a palette knife.

Numenius Numenius · Answer 1 · 2019-12-12T06:02:47+01:00

Answer: (B) Backward induction

Explanation:

The backward induction is basically used for making the decisions and it is the process of solving the various types of problems by determining the action properly.

In any type of situation, the backward induction basically used the optimal strategy type for making some effective result of the given situation.

According to the given scenario, Elly should use the backward induction process for making the decisions more effectively regarding her shop.

Therefore, Option (B) is correct.