question archive QUESTIONS Q1 Consider the following normal-form game: Up Middle Down a, B Left Centre Right 0,4 2,2 4,0 1,1 5,5 1, 2 2,2 3,3 where a > 0 and B > 0
QUESTIONS Q1 Consider the following normal-form game: Up Middle Down a, B Left Centre Right 0,4 2,2 4,0 1,1 5,5 1, 2 2,2 3,3 where a > 0 and B > 0
Subject:EconomicsPrice: Bought3
QUESTIONS Q1 Consider the following normal-form game: Up Middle Down a, B Left Centre Right 0,4 2,2 4,0 1,1 5,5 1, 2 2,2 3,3 where a > 0 and B > 0. a) For what values of a and B the Nash equilibrium couple of strategies is (Middle, Right)? Explain. b) For what values of a and B the Nash equilibrium couple of strategies is (Up, Left)? Explain. c) For what values of a and ß we have that Up and Left are non-rationalizable strategies? Explain. d) For what values of a and ß there exists a Nash equilibrium in dominated strategies? Explain.
