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Iterated elimination of dominated actions In class we discussed the algorithm for iterated elimination of dominated actions. It turns out that the exact properties of
Iterated elimination of dominated actions In class we discussed the algorithm for iterated elimination of dominated actions. It turns out that the exact properties of this algorithm depend on what types of dominated actions we allow to be eliminated. The strict version only eliminates an action aj if there is an aj such that uj(aj,aj)>uj(aj,aj) for all aj while the weak version eliminates it when uj(aj,aj)uj(aj,aj) for all aj. That is, in the strict case we only eliminate an action if another action is always strictly better, while in the weak case we allow actions to be eliminated even if they are sometimes equally good. (a) Give an example of a game where no action can be eliminated by iterated elimination of strictlydominated actions. (b) Give an example of a game where in two different choices for the order in which to eliminate strategies results in two different reduced games (i.e. the new games you get after you finish running the algorithm) for iterated elimination of weakly dominated actions. (Hint: start by thinking about what a game looks like where you have two choices for what to eliminate)
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