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Kim and Dill (both risk-neutral expected-money maximizers) discover two $100 notes in a park. If they can agree how to divide the money then they will keep it, otherwise they will hand it in to lost property. Assume the notes cannot be split. There are only three possible ways to divide them as followed:
pay off 1($200, $0)
pay off 2/3($100,$100)
pay off 4($0, $200)
Kim begins by proposing a division which can be accepted or rejected by Dill. If Dill rejects you both get nothing.
1. How would I draw the game tree.
2.Once I Draw the payoff matrix for this game, if Kim decides a split and Dill simultaneously chooses whether to accept or reject, also I need identifying pure strategies as in part.1
3. Identify all of the pure-strategy Nash equilibria in this game.
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