Question
Find the Nash equilibrium(s) of each of the following games. Show your work, including how you determined the best responses. Player B Player A U
Find the Nash equilibrium(s) of each of the following games. Show your work, including how you determined the best responses.
| Player B | ||||||
Player A |
| U | D | ||||
| U |
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| 3 |
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| 4 |
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| 3 |
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| 1 |
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| D |
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| 1 |
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| 0 |
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| 4 |
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| 0 |
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| Player B | ||||||
Player A |
| U | D | ||||
| U |
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| 3 |
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| 7 |
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| 3 |
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| 1 |
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| D |
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| 1 |
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| 5 |
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| 7 |
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| 5 |
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Sometimes, sequential-move games and simultaneous move games give different results. This question illustrates this idea.
Find all the Nash equilibriums for the following simultaneous move game. Show your work, including how you determined the best responses.
| Player B | ||||||
Player A |
| L | R | ||||
| L |
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| 2 |
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| 0 |
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| 2 |
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| 3 |
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| R |
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| 3 |
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| 0 |
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| 4 |
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Now, suppose we let Player A play first, and let Player B observe their action before playing. Explain why the following game tree describes this situation. (Player As payoffs are listed first in each ordered pair.)
Working from the bottom of the tree upwards, compute the equilibrium for the sequential version of the game. Show your work, including how you determined the best responses.
Is it a good idea to have a player play first in this game? Why or why not?
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