Prisoner’s Dilema is a game with non-zero sum in game theory. The simplest form of the game have two gamer (called prisoner), each prisoner always wants to get the benefit for himself, no matter what the other benefit is. The result of the game is not optimal. If two prisoners cooperate with each other, the result is the best. But each prisoner naturally has a motivation to escape the prison. So that I is the reason why they call “dilemma”.
Prisoner’ Dilemma focuses on researching the instant decision making when the prisoners have no time ...view middle of the document...
We assume the numerical result of China and Mexico when each nation produces or does not produce steel components in the table below:
Producing Not Producing
Producing +10 +10 -10 +20
Not Producing +20 -10
From the table we can see that If Mexico chooses producing steel components option and Japan does not produce steel components, Japan (+20) will get more benefit than Mexico (-10). If Japan chooses producing steel components option and Mexico chooses not to produce steel components, Mexico (+20) will get more benefit than Japan (-10). If Japan and China choose the producing option, both of them will have the same benefit (+10). If the two nations choose not producing, they will be hurt (-5, -5). So we can that the two nations will win if they make agreement for cooperation (both choosing producing option) with each other. However if a nation does not chooses cooperation (choosing not producing option); it means that they break the agreement, the nation will get more benefit than other. If both of them violate the agreement, they will lose their benefit.