{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

A_Course_in_Game_Theory_-_Martin_J._Osborne 32

A_Course_in_Game_Theory_-_Martin_J._Osborne 32 - Matching...

Info icon This preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Page 17 Figure 17.1 The Prisoner's Dilemma (Example 16.2) Figure 17.2 Hawk-Dove (Example 16.3). each animal is that in which it acts like a hawk while the other acts like a dove; the worst outcome is that in which both animals act like hawks. Each animal prefers to be hawkish if its opponent is dovish and dovish if its opponent is hawkish. A game that captures this situation is shown in Figure 17.2. The game has two Nash equilibria, ( Dove , Hawk ) and ( Hawk, Dove ), corresponding to two different conventions about the player who yields. • Example 17.1
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ( Matching Pennies ) Each of two people chooses either Head or Tail. If the choices differ, person 1 pays person 2 a dollar; if they are the same, person 2-pays person 1 a dollar. Each person cares only about the amount of money that he receives. A game that models this situation is shown in Figure 17.3. Such a game, in which the interests of the players are diametrically opposed, is called "strictly competitive". The game Matching Pennies has no Nash equilibrium. Figure 17.3 Matching Pennies (Example 17.1)....
View Full Document

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern