hw9ak - Homework Econ 221 1. Write down the pay-off matrix...

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Homework Econ 221 1. Write down the pay-off matrix for Rock paper scissors where you get a payoff of 1 for winning, -1 for losing and zero for a draw. Is there a pure strategy Nash Equilibrium? Rock Paper Scissors Rock Paper Scissors Rock Paper Scissors Rock 0, 0 -1, 1 1 , -1 Paper 1 , -1 0, 0 -1, 1 Scissors -1, 1 1 , -1 0, 0 There is no pure strategy Nash Equilibrium. Best Responses are in blue. 2. Consider a non-cooperative game between me and my wife. I get to pick the food for the evening, but she gets to pick the drink. The payoff matrix is below (I’m player 1, she is player 2). Solve for the pure strategy nash equilibrium. Beer Whiskey Wine Pizza 5, 1 4, 3 1, 2 Steak 4, 3 7, 4 1, 5 Pasta 1, 0 0, 1 2, 2 Best Responses in Blue: Beer Whiskey Wine Pizza 5 , 1 4, 3 1, 2 Steak 4, 3 7 , 4 1, 5 Pasta 1, 0 0, 1 2 , 2 Pasta and wine is the unique pure strategy equilibrium what would happen if my wife got to pick the drink first, then I got to observe her choice and make a selection? What if the order was reversed? If my wife picked first she would know that I would observe her choice and then react.
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This note was uploaded on 03/20/2012 for the course ECON 221 taught by Professor Gordanier during the Fall '08 term at South Carolina.

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hw9ak - Homework Econ 221 1. Write down the pay-off matrix...

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