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Asterix and Obelix go hunting. They can either choose to hunt a boar or hunt a rabbit. Each one chooses their action (to hunt boar or rabbit), without observing the action chosen by the other. If either Asterix or Obelix hunts a boar, they must have the cooperation of their partner in order to succeed. Either Asterix or Obelix can hunt the rabbit by themselves, (i.e., alone, without cooperation from the partner), but a rabbit is worth less than a boar. If both individuals choose boar, both Asterix and Obelix get a payoff of 4 each. On the other hand if one individual choose boar and the other chooses rabbit, the person choosing boar gets a payoff of 1 and the individual choosing rabbit gets a payoff of 3. If both Asterix and Obelix choose rabbit, they get a payoff of 2 each. Formulate the above problem as a normal form game and solve for all pure and mixed strategy Nash equilibria.
Show your result in a graph.
What is the depreciation allowance for Year 2 and book value at the end of that year?
Graph the long-run supply curve, assuming the cost function is for a single plant and can be replicated without change.
Looking to generate some additional income from the restaurant building you own, you explore the idea of installing maintenance-free solar panels on the rooftop. If you find a company who will install the solar panels (material and labor) for $54,000..
Discuss the pros and cons of the two “advanced” forms of estimating energy demand. What do they excel at and where are they lacking? How might policy changes be built into the models? Assume the following two equations for the extraction of a natural..
Suppose you are considering the purchase of a 2011 Ford Explorer. The car costs $22,000 and you plan to make a $2,000 down payment. For a 48 month lease, the APR is 4.9%. What is your monthly payment? What happens to your answer if you extend the loa..
The labor abundant countries of asia have experiences rapidly rising wages since those economies liberalized their international trade policies. Does this observation match the predictions of international trade theory? Explain.
q. transfers to the rest of the world 20loans to the rest of the world 60loans from the rest of the world?increases in
Explain why Ford and GM purchase tires for their automobiles from independent suppliers but produce their own engines.
From California to New York, legislative bodies across the United States are considering eliminating or reducing the surcharges that banks impose on noncustomers. what would be the no pecuniary cost of legislation that would place a $1.50 cap on the ..
'Unlike a fixed exchange rate regime, a surplus country will experience increasing money supply and foreign exchange reserve accumulation.
Rent controls force landlords to price apartments below the equilibrium price level. An immediate effect is a shortage (excess demand) of apartments, because the quantity of apartments demanded is greater than the quantity supplied at the regulated p..
Which of the following is NOT a characteristic of a perfectly competitive market? Recall the Application called "Wireless Women in Pakistan." What makes the wireless telephone market in the US NOT perfectly competitive? Recall the Application called ..
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