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Thank you so much! (Game Theory) Question 5 (15 points) Two people are involved in a dispute. Person 1 can be of only one type.

Thank you so much! (Game Theory)

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Question 5 (15 points) Two people are involved in a dispute. Person 1 can be of only one type. Person 1 does not know whether person 2 is strong or weak; she assigns probability o to person 2's being strong. Person 2 is fully informed (about his own type). Each person can either fight or yield. Each person's payoff function assigns a payoff of 0 if she yields (re- gardless of the other person's action) and a payoff of 1 if she fights and her opponent yields; if both people fight, then their payoffs are (-1,1) if person 2 is strong and (1,-1) if person 2 is weak. Formulate this situation as a Bayesian game and find its Bayes-Nash equilibria if a 1/2

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