Egoists, utilitarians, and enviers Consider the game in Table 11.3, expressed in dollar terms. (a) Suppose, first,
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Egoists, utilitarians, and enviers Consider the game in Table 11.3, expressed in dollar terms.
(a) Suppose, first, that this game is played by two egoists, for whom u(x, y) = x. Compute all Nash equilibria.
(b) Suppose, next, that this game is played by two utilitarians, for whom u(x, y) = x + y. Compute all Nash equilibria.
(c) Suppose, finally, that this game is played by two enviers, for whom u(x, y) = x − y. Compute all Nash equilibria.
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Related Book For
A Course In Behavioral Economics
ISBN: 9781352010800,9781352010817
3rd Edition
Authors: Erik Angner
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