6. Extensive-Form Games
Backward Induction — Quiz
Test your understanding of backward induction with 5 practice questions.
Practice Questions
Question 1
In backward induction, where do you begin solving a finite sequential game?
Question 2
What does a player choose at a decision node under backward induction?
Question 3
At the final decision node, Player 2 can choose between outcome $(1,5)$ and outcome $(4,2)$. Which action does Player 2 choose?
Question 4
Player 1 chooses $A$ or $B$. If Player 1 chooses $A$, the game ends with payoff $(3,1)$. If Player 1 chooses $B$, Player 2 chooses $C$ leading to $(2,4)$ or $D$ leading to $(5,0)$. Using backward induction, what does Player 1 choose?
Question 5
Which statement best describes a subgame-perfect equilibrium in a finite sequential game?
