Assignment:
In the game shown below, Players 1 and 2 are competing over how to divide up exist100. Each player must move at the same time without knowledge of the other players move. The table shows the payoff for Player1 (Player 2s payoff is exist100 - Player 1s Payoff).
Find the Nash equilibrium profile of strategies for this game. That is, what strategy should be Player 1 and Player 2 use for this game? If the Players use their optimal strategy, what will to the payoff for each player in this game? You will need to use a combination of techniques solve this problem.
|
Player 2 |
| Player 1 |
Left |
Middle |
Right |
| Up |
60 |
40 |
30 |
| Middle |
50 |
30 |
65 |
| Down |
70 |
50 |
40 |
Provide complete and step by step solution for the question and show calculations and use formulas.