Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help answering question 3 & 4 parts (a) and (b) that are in the images below for my game theory class 3. (15

I need help answering question 3 & 4 parts (a) and (b) that are in the images below for my game theory class

image text in transcribed
3. (15 points) Three students are enrolled in a class. At the end of the class, the professor announces that 1 point extra credit will be awarded to all students if at least two complete a course evaluation. The stu- dents decide whether or not to complete the evaluation independently and simultaneously. Evaluations are a hassle and cost each student 1 jolly to complete. Each student values the extra credit at 10 jollies. (a) Draw the strategic form of the game among the students. (b) Find all pure strategy Nash equilibria of this game. (c) Find one mixed strategy Nash equilibrium. 4. (15 points) Consider the same setup as the previous problem, except now the value of the extra credit to each student is their private infor- mation. In particular, if a student expects to get an A in the course 2 without the extra credit, the extra credit is worthless. If the student does not expect to get an A, the extra credit is worth 10 jollies. Each student believes that each student (including herself) expects to get an A with probability 30. These probabilities are independent. Each student's type is drawn by nature and revealed only to that student. Then the students simultaneously decide to complete an evaluation or not. An evaluation costs 1 jolly to complete. Find conditions on 39 such that it is a pure strategy Bayes Nash equilibrium for students complete the evaluation if and only if they do not expect to get an A

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International economics

Authors: Robert J. Carbaugh

13th Edition

978-1439038949, 1439038945, 978-8131518823

More Books

Students also viewed these Economics questions

Question

How to find if any no. is divisble by 4 or not ?

Answered: 1 week ago

Question

Explain the Pascals Law ?

Answered: 1 week ago

Question

What are the objectives of performance appraisal ?

Answered: 1 week ago