Consider the game below. Let p be the probability Player 1 (the row player) picks H, and q be the probability Player 2 (the column player) picks H. Find all the pure strategy and mixed strategy Nash equilibria, if any. (Answers on next page) H L H L 9,5 1, 2 4, 16, 10

Consider the game below. Let p be the probability Player 1 (the row player) picks H, and q be the probability Player 2 (the column player) picks H. Find all the pure strategy and mixed strategy Nash equilibria, if any. (Answers on next page) H L H L 9,5 1, 2 4, 16, 10

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter8: Game Theory

Section: Chapter Questions

Problem 8.1P

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Question

** Please be advsed that this is practice only from previous yeasr ***

Answers:

(a) There are no Nash equilibria.
(b) There are two pure strategy Nash equilibra, one with (H,H) and another with (L,L), and no mixed strategy Nash equilibria.
(c) There are two pure strategy Nash equilibra, one with (H,H) and another with (L,L), and one mixed strategy Nash equilibria with p = 1/2 and q = 1/2.
(d) There are two pure strategy Nash equilibra, one with (H,H) and another with (L,L), and one mixed strategy Nash equilibria with p = 1/2 and q = 3/4.
(e) There are two pure strategy Nash equilibra, one with (H,H) and another with (L,L), and one mixed strategy Nash equilibria with p = 3/4 and q = 1/2.

Consider the game below. Let p be the probability Player 1 (the row player) picks
H, and q be the probability Player 2 (the column player) picks H. Find all the pure
strategy and mixed strategy Nash equilibria, if any. (Answers on next page)
H
L
H L
9,5
1, 2
4, 16, 10

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