<Tr> <Th> A stays silent </Th> <Td> - 1 - 1 </Td> <Td> 0 - 3 </Td> </Tr> <Tr> <Th> betrays </Th> <Td> - 3 0 </Td> <Td> - 2 - 2 </Td> </Tr> <P> The prisoner's dilemma is a standard example of a game analyzed in game theory that shows why two completely rational individuals might not cooperate, even if it appears that it is in their best interests to do so . It was originally framed by Merrill Flood and Melvin Dresher while working at RAND in 1950 . Albert W. Tucker formalized the game with prison sentence rewards and named it "prisoner's dilemma" (Poundstone, 1992), presenting it as follows: </P> <P> Two members of a criminal gang are arrested and imprisoned . Each prisoner is in solitary confinement with no means of communicating with the other . The prosecutors lack sufficient evidence to convict the pair on the principal charge . They hope to get both sentenced to a year in prison on a lesser charge . Simultaneously, the prosecutors offer each prisoner a bargain . Each prisoner is given the opportunity either to: betray the other by testifying that the other committed the crime, or to cooperate with the other by remaining silent . The offer is: </P>

What kind of problem does the prisoner’s dilemma story illustrate
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