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In the following game, compute all the Nash equilibria, and find a correlated equilibrium that is not in the convex hull of the Nash equilibria.
Can the pair of strategies you found in (b) be part of a perfect Bayesian equilibrium? - Are there other pairs of strategies that can be part of a perfect Bayesian equilibrium?
Calculate Harvey's choosing, selling, and buying prices (ptc, pts, and ptb respectively). Who is more loss averse: the person whose preferences we studied in class or Harvey's?
A courier service advertises that its average delivery time is less than 6 hours for local deliveries. A random sample of times for 12 deliveries to an address across town was recorded.
you a real-estate developer own a piece of land in nassau bahamas next to an equal size piece of land owned by a
What is the dominant strategy and describe the Nash equilibrium or Nash equilibria, Why did they do this? Do you think that Sun Resorts cares about how many airlines will serve the island? Explain.
Find a mixed strategy of Player I that guarantees him the same payoff against any pure strategy of Player II.- Find a mixed strategy of Player II that guarantees him the same payoff against any pure strategy of Player I.
Prove that if a player in an extensive-form game has only one information set, then his set of mixed strategies equals his set of behavior strategies.
For the game BoS in given Figure, find the max minimizer of each player. Show for each equilibrium, the strategy of neither player guarantees her equilibrium payoff.
One airport had 28% late arrivals. After a new directing system was installed, a sample of 1200 flights had 322 late arrivals. At the .01 level, did the new system lower the rate of late arrivals? List the null and alternate hypotheses.
a) How many cars are red and have a sun roof, but do not have an automatic transmission? b) How many cars are not red, do not have an automatic transmission, and do not have a sun roof?
For which values of the discount factor δ can the players support the pair of actions (T,L) played in every period? Why is your answer different from that for (a)?
Is it possible for him to be indifferent between the sure payment and the lottery? What is the general lesson to learn from this exercise - Is this preference relation rational in the sense defined by the preference theory?
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