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A team working on a project consists of n individuals. Each individual must choose effort e ∈ {0, 1}, where choosing 0 is costless and 1 costs c > 0. The project succeeds only all n members exert effort. The payoff to an individual the benefit of the project minus his private cost. The project yields a benefit of v > c to each individual if it succeeds, and zero if it fails.
a) Formulate this as a strategic game and solve for all symmetric Nash equilibria, pure and mixed.
b) What happens to the probability of success of the project in the mixed strategy equilibrium as c increases.
b) Show that this game does not have any asymmetric equilibria, either pure or mixed.
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