R2C2

Example 1. Nash arbitration with the golden section search method Assume we have the following partial conflict game between two players: Player II Strategies C1 C2 Player I R1 (2, 6) (5,4) R2 (10,5) (4,8) Assume in this example we have already found the Nash equilibrium, (4.666, 5.6). We plot the points and obtain the convex polygon shown in figure 3. Figure 3. Payoff polygon and Pareto optimal line segment We find the Nash equilibrium is not Pareto optimal. To be Pareto

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