Each of two players receives a ticket on which there is a number from the interval [0,100].
Question:
Each of two players receives a ticket on which there is a number from the interval [0,100]. The number on each player's ticket is private information. If the number on the ticket is M, it entitles the ticket holder to receive M rupees. The number on each ticket is independently drawn from a uniform distribution on [0, 100]. Each player is asked independently and simultaneously whether she wants to exchange her ticket for the other player's ticket. If both players agree then the tickets are exchanged; otherwise each player keeps her own ticket. Each player's objective is to maximize her expected monetary payoff. Model this situation of incomplete information as a Bayesian game. Find a Bayesian Nash equilibrium of this game. (Hint: Think cutoff strategies)