Additional Problem #1: Battle of Sexes game: imagine a couple has a date night planned. However, each of their cell phones died and the couple had not decided between the opera or a boxing match. They share a common first objective, to meet at the same event. Their second objectives differ, though. The man prefers the boxing match and the woman prefers the opera. The following payoff matrix summarizes a version of this game. | Woman \ Man Вoxing. Орега Boxing (49, 59) |(30, 25) Opera (19, 11) |(62, 39) a) Find the pure strategy Nash equilibria, if any exist. Show/Explain your work. Additional Problem #2: Game of Chicken: imagine two drivers are racing toward each other in cars. If a driver “swerves", he/she is known as a chicken. If a driver drives "straight" without swerving, he/she is a tough. However, if both drive "straight", then they crash, leading to a disastrous outcome. If both "swerve", then each driver is considered a coward. The following payoff matrix summarizes a version of this game. Driver 1 \ Driver 2 Straight Swerve Straight (-49, -59) | (19, -11) (-10, 25) Swerve (-2, -3) a) Find the pure strategy Nash equilibria, if any exist. Show/Explain your work.

Additional Problem #1: Battle of Sexes game: imagine a couple has a date night planned. However, each of their cell phones died and the couple had not decided between the opera or a boxing match. They share a common first objective, to meet at the same event. Their second objectives differ, though. The man prefers the boxing match and the woman prefers the opera. The following payoff matrix summarizes a version of this game. | Woman \ Man Вoxing. Орега Boxing (49, 59) |(30, 25) Opera (19, 11) |(62, 39) a) Find the pure strategy Nash equilibria, if any exist. Show/Explain your work. Additional Problem #2: Game of Chicken: imagine two drivers are racing toward each other in cars. If a driver “swerves", he/she is known as a chicken. If a driver drives "straight" without swerving, he/she is a tough. However, if both drive "straight", then they crash, leading to a disastrous outcome. If both "swerve", then each driver is considered a coward. The following payoff matrix summarizes a version of this game. Driver 1 \ Driver 2 Straight Swerve Straight (-49, -59) | (19, -11) (-10, 25) Swerve (-2, -3) a) Find the pure strategy Nash equilibria, if any exist. Show/Explain your work.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter15: Strategic Games

Section: Chapter Questions

Problem 3MC

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