Part 1 Sam and Ray do not like each other and will be miserable if they attend the same event. Both are going out Friday night to either the bar or a concert; and Sam will publicly tweet where he is going before Ray makes his plans. Each will get 6 payoff from going to a concert and 2 benefit from going to the bar if the other is not there. If both go to the same venue, they will get a payoff of zero. Write a game tree for this game and find the equilibrium strategy and equilibrium payoffs clearly labeling both. Part 2 Take the game from the question above and switch the order of the decisions. Write a game tree for this game and find the equilibrium strategy and equilibrium payoffs clearly labeling both. Has the equilibrium strategies and payoffs changed from the question above? Explain why.
Part 1
Sam and Ray do not like each other and will be miserable if they attend the same event. Both are going out Friday night to either the bar or a concert; and Sam will publicly tweet where he is going before Ray makes his plans. Each will get 6 payoff from going to a concert and 2 benefit from going to the bar if the other is not there. If both go to the same venue, they will get a payoff of zero.
Write a game tree for this game and find the equilibrium strategy and equilibrium payoffs clearly labeling both.
Part 2
Take the game from the question above and switch the order of the decisions.
Write a game tree for this game and find the equilibrium strategy and equilibrium payoffs clearly labeling both. Has the equilibrium strategies and payoffs changed from the question above? Explain why.
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