A POLITICAL GAME: COLOMBIA VS. FARC

Part A: Colombia in The 20th Century. A Weak Colombian Government (Col Gov) Kept Fighting Against Rebel Group Farc

• COL GOV has two strategies: FIGHT and FORGIVE
• FARC has two strategies: FIGHT and SURRENDER
• If Colg Gov fights and FARC fights then Col Gov gets -1 and FARC gets -1.
• If Colg Gov fights and FARC surrenders then Col Gov gets 1 and farc gets -2.
• If Colg Gov forgives and FARC fights then Col Gov gets -2 and farc gets 2.
• If Colg Gov forgives and FARC surrenders then Col Gov gets 0 and farc gets 0.

All these numbers make sense, but I will not get into this right now. It just suffices to say that (0, 0) is business as usual.

Given the previous figures,

• Please, write down thematrix of pay-offs.
• Check that FIGHT is a dominant strategy for COL GOV.
• Check that FIGHT is a dominant strategy for FARC.
• Therefore, (FIGHT, FIGHT) = (-1,-1) should be the Nash outcome of the game.

PART B. COLOMBIA IN THE 21st CENTURY. A STRONG COL GOV PUSHES FARC TO SURRENDER.

In the above game, please change the following entry

• If Colg Gov fights and FARC fights then Col Gov gets -1 and FARC gets -5. That is, insert -5 instead of -1.

Given the new figures,

• Please, write down thematrix of pay-offs.
• Check that FIGHT is a dominant strategy for COL GOV
• Check that FIGHT is NOT a dominant strategy for FARC. In fact, FARC has no dominant strategy.
• Check that (FIGHT, SURRENDER) = (1,-2) is the Nash outcome of the game.