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questions and answers/ a married couple has to decide... Question:A married couple has to decide whether to spend their evening watching ABC, NBC, or CBS.
questions and answers/ a married couple has to decide...
Question:A married couple has to decide whether to spend their evening watching ABC, NBC, or CBS. The wife...
A married couple has to decide whether to spend their evening watching ABC, NBC, or CBS. The wife prefers CBS to NBC and NBC to ABC. The husband prefers NBC to CBS and CBS to ABC. To make their decision, they use a sequential veto rule: first the wife eliminates one of the three networks, then the husband chooses one of the remaining two.
(a) Represent this game in a game tree, assigning a player a payoff of 1 for his/her first choice, 0 for his/her second choice, and -1 for his/her last choice.
(b) Write down all strategies for each player.
(c) Find all Nash equilibria of this game.
(d) Which of the Nash equilibria from part (c) are subgame perfect?
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