Find the mixed strategy nash equilibrium

Assignment Help Game Theory
Reference no: EM131251811

Player 1 (the "hider") and player 2 (the "seeker") play the following game. There are four boxes with lids, arranged in a straight line. For convenience, the boxes are labeled A, B, C, and D. The administrator of the game gives player 1 a $100 bill, and player 1 must hide it in one of the four boxes.

Player 2 does not observe where player 1 hides the $100 bill. Once player 1 has hidden the bill, player 2 must open one (and only one) of the boxes. If the money is in the box that player 2 opens, then player 2 keeps the $100. If it is not, player 1 gets to keep the $100.

(a) Does this game have a pure-strategy Nash equilibrium?

(b) Find the mixed-strategy Nash equilibrium.

(c) Suppose it is common knowledge that player 1 likes the letter "A" and would get extra satisfaction from putting the money in box A. Let this satisfaction be equivalent to receiving $20. Assume this is in addition to any money received in the game. How does player 1's preference for the letter "A" affect the equilibrium mixing probabilities? Calculate the new equilibrium strategy profile if you can.

(d) Describe the equilibria of the game in which player 1's extra satisfaction from selecting box A is equivalent to receiving $120.

Reference no: EM131251811

Questions Cloud

Find a symmetric mixed strategy nash equilibrium of game : Is there a pure-strategy equilibrium in which all three players exert effort? - Find a symmetric mixed-strategy Nash equilibrium of this game. Let p denote the probability that an individual player selects N.
Do you agree or disagree with the author of the essay : Do you agree or disagree with the author of the essay? Why? How do your views differ with those of the author of the essay? Did you learn something new from this essay?
Explain the importance of situating a society cultural : Explain how key social, cultural, and artistic contributions contribute to historical changes. Explain the importance of situating a society's cultural and artistic expressions within a historical context. Examine the influences of intellectual, rel..
Explain the advantages of the flexible exchange rate regime : List and explain the advantages of the flexible exchange rate regime. Criticize the flexible exchange rate regime from the viewpoint of the proponents of the fixed exchange rate regime.
Find the mixed strategy nash equilibrium : Does this game have a pure-strategy Nash equilibrium? -Find the mixed-strategy Nash equilibrium. - Describe the equilibria of the game in which player 1's extra satisfaction from selecting box A is equivalent to receiving $120.
Identify and explain the stages of team development : Identify and describe the stages of team development. How might stronger team skills benefit you? How might you use teamwork skills in your job? Provide specific examples.
Identify the null and alternative hypothesis : a) identify the null and alternative hypothesis, show work b) determine the test statistic, show work c) determine the p value, show work
Describe a mixed strategy equilibrium of the game : Does this game have a pure-strategy Nash equilibrium? If so, describe it. If not, explain why. - describe a mixed-strategy equilibrium of this game. Explain whether people obey the law.
Create an annotated bibliography focusing on models used : Create an annotated bibliography focusing on models used by companies to leverage diversification. These models also can serve to construct a portfolio management tool that characterizes business unit strategy and measures company results.

Reviews

Write a Review

 

Game Theory Questions & Answers

  1 sun resortssun resorts has a hotel on a caribbean island

1. sun resortssun resorts has a hotel on a caribbean island. it recently spent money to lobby the government to build a

  What is the profit-maximizing price pm

What is the profit-maximizing output level xM? What is the profit-maximizing price pM - In absence of recurring fixed costs, what is the monopolist's profit?

  Average pulse rate of adults

A null hypothesis is that the average pulse rate of adults is 70. For a sample of 64 adults, the average pulse rate is 71.8. A significance test is done and the p-value is 0.02. What is the most appropriate conclusion based on α of 0.05?

  What body weight is considered underweight

What body weight is considered underweight (defined as in the bottom 10% for body weight)?

  Significance level using the critical value approach

At a 0.025 significance level using the critical value approach, test to see if the % error is higher than the industry standard. Clearly state your hypothesis and conclusions.

  Probability that marie will win all games

What is the probability that Marie will be ranked number one after this year? What is the probability that Marie will win all 4 games this year against Jan?

  What is expected payoff to each player if each flips a coin

What is the expected (average) payoff to each player if each flips a coin to decide whether to play 2 or 3? ls this better than focusing on both choosing l as a focal equilibrium

  Determine the nash equilibrium for trade policy

Consider trade relations in the United State and Mexico. Suppose that leaders of two countries believe the payoffs to alternative trade policies are as follows:

  What is the outcome of the game

What is the outcome of the game? - What is the superintendent's offer and what is the president's response?- Comment on how the union's final salary depends on y.

  Do you know that one of the players has a strategy

Under what conditions on m and n do you know that one of the players has a strategy that guarantees a win? Can you determine which player can guarantee a win? If so, provide some logic or a proof.

  Standard deviation of measurements

Test the hypothesis that random variable 30.4 31.2 30.8 29.9 30.4 30.7 29.9 30.1 come from a normal distribution with mean 30.5. The standard deviation of the measurements is known to be 0.1

  Is a nash equilibrium in which more than k people contribute

Is there a Nash equilibrium in which more than k people contribute? One in which k people contribute? One in which fewer than k people contribute?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd