Question
Consider the alternative version of the Prisoner-Revenge game in which the order of the games is rever versed, i.e., the multistage game in which
Consider the alternative version of the Prisoner-Revenge game in which the order of the games is rever versed, i.e., the multistage game in which first they play and then they play 1 0,0 G -1,-4 P1 L P2 P1 M F m 4,4 5, -1 9 -4, -1 -3, -3 P2 f -1,5 1,1 Suppose that both players discount payoffs using the same discount factor d in [0, 1]. What are the pure SPNE of the multistage game? Does the answer depend on the value of 8?
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Intermediate Microeconomics and Its Application
Authors: walter nicholson, christopher snyder
11th edition
9781111784300, 324599102, 1111784302, 978-0324599107
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