Question
Consider policy motivated candidates competing over the unit interval on which the voter ideal policies are distributed uniformly. Candidate L has an ideal policy
Consider policy motivated candidates competing over the unit interval on which the voter ideal policies are distributed uniformly. Candidate L has an ideal policy of 1/3, and Candidate R has an ideal policy of 2/3. Furthermore these two candidates differ in their valences: VR = 1/10, and v = 0.. The utility of voter i from Candidate j with policy P, and valence v; is given by U(P), v) = -|- P| + vj. Assume for simplicity that voters will vote for Candidate R unless their utility is higher from Candidate L. That is, when any voter is indifferent between candidates L and R, she votes for R. Calculate all the pure strategy Nash Equilibria of this game, if there is any.
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Microeconomics An Intuitive Approach with Calculus
Authors: Thomas Nechyba
1st edition
538453257, 978-0538453257
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