Consider a country with n citizens, and let νi be the value that citizen i attaches to protesting. Enumerate the citizens so that citizen 1 attaches more value to protesting than citizen 2, who attaches more value than citizen 3, and so forth: ν1 > ν2 > . . . > νn(= 0), where citizen n attaches no value to protesting. Assume that the cost of protesting is the same for all citizens and is c/m where c > 0 and m is the number of protestors. Then the payoff to citizen i from protesting is νi - (c/m), while the payoff from not protesting is zero. Assume that ν1 - c < 0. Find all Nash equilibria.

Consider a country with n citizens, and let νi be the value that citizen i attaches to protesting. Enumerate the citizens so that citizen 1 attaches more value to protesting than citizen 2, who attaches more value than citizen 3, and so forth: ν1 > ν2 > . . . > νn(= 0), where citizen n attaches no value to protesting. Assume that the cost of protesting is the same for all citizens and is c/m where c > 0 and m is the number of protestors. Then the payoff to citizen i from protesting is νi - (c/m), while the payoff from not protesting is zero. Assume that ν1 - c < 0. Find all Nash equilibria.

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter33: International Trade

Section: Chapter Questions

Problem 8QP

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