Econ301_hw5 - (b) Is your pure strategy Nash equilibrium...

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Econ 301 - Homework #5 (Optional, 40 extra points) Due on Friday Aug 6 1. Please watch the Ferry Scene in movie ”Dark Knight”, the clip is available on youtube: http://www. youtube.com/watch?v=TmUWRJInwhk . (a) Please formulate this situation as a static game with 2by2 payoff matrix and find out the pure strategy of Nash equilibrium. (Hint: it is similar to the Prisoner’s Dilemma)
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Unformatted text preview: (b) Is your pure strategy Nash equilibrium consistent with the nal results shown in the movie? Briey explain it. 2. Please draw the game tree of the trust game we played in the class, and use backward induction to nd out a pure strategy Nash equilibrium. 1...
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This note was uploaded on 08/01/2011 for the course ECON 301 taught by Professor Corinnelanginier during the Summer '07 term at Iowa State.

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