Show how one might propose a solution for such games

Reference no: EM132443926 , Length: 6 pages

Question 1:

(Part A) What are the ingredients of a simultaneous-move game? Show (using simple examples) how one might propose a "solution" for such games. Comment on the strengths and weaknesses of your solution concept(s).

(Part B) Document a situation in which game-theoretic analysis explains the out- come, and also a situation in which the outcome deviated from the predic- tion(s). For the second case, why did the prediction fail?

Question 2:

(Part A) For an auctioneer , does it really matter whether an object is sold via a Dutch auction , a sealed auction , a Vickrey auction , or an open auction? Why or why not ? How might your choice of auction format influenced by : (i) the risk aversion of the bidders , (ii) any uncertainty the buyers may have over their valuation , (iii) significant asymmetries in bidder strength ; or (iv) any other factors that you think might be important?

(Part B) Document uses of at least two major auctions formats, and evaluate whether the factors that you mentioned under (i) to (iv) seem to have influenced the choice of auction format.

Reference no: EM132443926

Questions Cloud

Perform a duty that one of the original parties : What do you call a contract by which a new party agrees to perform a duty that one of the original parties to a contract was already legally obligated

Provide a living income to the owner : What do we call a firm that is intended to provide a living income to the owner, and operating in a manner and on a schedule consistent

Description of the intended audience for the ad : Description of the intended audience for the ad.A discussion of which magazine the advertisement came from and in which other magazines it might appear.

What do we call the set of risks faced by firms : What do we call the set of risks faced by firms early in their life cycles that comes from a lack of knowledge by the owners

Show how one might propose a solution for such games : Document a situation in which game-theoretic analysis explains the out- come, and also a situation in which the outcome deviated from the predic- tion(s)

Replace the salary or wages the entrepreneur : What do we call the returns intended to equal and replace the salary or wages the entrepreneur could draw working for someone else?

What do you call an estate planning strategy : What do you call an estate planning strategy which focuses on transferring assets to heirs when the asset costs are low?

Preliminary description of the product or service idea : Which process involves showing a preliminary description of the product or service idea to prospective customers o gauge customer interest, desirability

Reflect on John Deweys Idea of Progressive education : Reflect on John Dewey's Idea of Progressive education

User Account

All Pages