What is probability that the defendant wins in equilibrium

Reference no: EM131252250

Imagine that a zealous prosecutor (P) has accused a defendant (D) of committing a crime. Suppose that the trial involves evidence production by both parties and that by producing evidence, a litigant increases the probability of winning the trial.

Specifically, suppose that the probability that the defendant wins is given by eD>(eD + eP), where eD is the expenditure on evidence production by the defendant and eP is the expenditure on evidence production by the prosecutor. Assume that eD and eP are greater than or equal to 0. The defendant must pay 8 if he is found guilty, whereas he pays 0 if he is found innocent. The prosecutor receives 8 if she wins and 0 if she loses the case.

(a) Represent this game in normal form.

(b) Write the first-order condition and derive the best-response function for each player.

(d) Is this outcome efficient? Why?

Reference no: EM131252250

Questions Cloud

Game between a criminal and the government : Write the first-order conditions that define the players' best-response functions and solve them to find the best-response functions. Graph the best-response functions.

How many five-digit positive integers are there : How many five-digit positive integers are there with middle digit 6 that are divisible by three? How many five-digit positive integers are there that contain the digit 9 and are divisible by three?

Describe the equilibrium strategies : In the years 2000 and 2001, the bubble burst for many Internet and computer firms. - Describe the equilibrium strategies and briefly explain why this is an equilibrium.

What are the characteristics of effective teams : In a virtual meeting, how can you ensure a group is communicating effectively? How can you ensure that each team member understands what the next steps are required to achieve the meeting's goals? What are the characteristics of effective teams?

What is probability that the defendant wins in equilibrium : Write the first-order condition and derive the best-response function for each player. - Find the Nash equilibrium of this game. What is the probability that the defendant wins in equilibrium.

What theorem of number theory does this prove : How many ways are there to do the same if we do not consider two paint jobs different if one can be obtained from the other by rotation?

Initialization vector iv for running : Assume that the initialization vector IV for running the considered block cipher in CBC mode is known. How many plaintexts and ciphertexts are now needed to break the cipher by performing an exhaustive key search? How many steps need now maximally..

Create your own hypothesis about the world of work : One hypothesis might read: Manufacturing jobs are decreasing in the United States because more manufacturing work is being done overseas. Create your own hypothesis about the world of work. Then, brainstorm ways you would find data to prove your h..

Description of the procedural steps : Describe the steps you took to use each function. Explain when each function would be useful. Submit a copy of original document and amended document you created together with your description of the procedural steps you took (saved as one file).

User Account

All Pages