Which type of game in game theory is most closely associated with a win-win scenario, where all players can benefit from cooperation?

• A. Sequential game
• B. Zero-sum game
• C. One-shot game
• D. Cooperative game

Answer: (D)

Verified step by step guidance

1. Understand the key concept of a win-win scenario in game theory, which implies that all players can benefit from working together rather than competing against each other.
2. Recall that a zero-sum game is one where one player's gain is exactly another player's loss, so it does not allow for mutual benefit or cooperation.
3. Recognize that a sequential game involves players making moves one after another, but it does not necessarily imply cooperation or mutual benefit.
4. Note that a one-shot game is played only once, and while it can involve cooperation, it does not inherently guarantee a win-win outcome.
5. Identify that a cooperative game is specifically designed to analyze situations where players can form binding agreements and cooperate to achieve outcomes that benefit all involved, making it the type of game most closely associated with win-win scenarios.