11midsol - 2 1. Find a. Nash equilibrium of the bimatrix...

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Unformatted text preview: 2 1. Find a. Nash equilibrium of the bimatrix game with payoff matrix _ (1,6)(41) 3 “’5; ~11 a “I Q” Why afw, W21“ < “S! "I; W 0141+] ” é”7lE/#I 5 3 2. Modify the Cournot model of duopoly in which the price is related to the quantity produced by P(quq2l:a*q1—Q2 by assuming that the cost per unit for firm 1 is c1 and the cost per unit for firm 2 is Cg. Find the Nash equilibrium for this model. { l‘ ‘ glue”) THC/kw???” 52 yea Q 13?: “Fdi “(1-1: 0 3611)”; H26 3C) m_a¢ TL gov/Cth _/ a? 1% : amac-+Ci 4 3. Set up the matrix for the strategic form of the game with Kuhn tree below, but £111 in the entries of the matrix only for the row corresponding to the pure strategy b for player I, showing your work. I 5 4. Let é be a strategy for Colin (player II) and let e“ be Rose’s (player 1) best response to (3 among all her pure strategies, that is, 63,1146! 2 eEAQ for all 2'. Let p be any mixed strategy for Rose. Prove that pTAé S egkAtj. 6 5. Solve the matrix game ,1 O O ,, I] C) I (g 0 MI VOW 3 0 04+, ...
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11midsol - 2 1. Find a. Nash equilibrium of the bimatrix...

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