Determine nash equilibria, Applied Statistics

Assignment Help:

Two students are sitting in a lecture and considering whether to ask a question from the professor (both of them are considering the same question).

If they both ask, the question cannot be answered properly (e.g., because they would both speak at the same time so the question would not be heard), and each student incurs a cost C for not learning the answer. Of course, if neither student asks, they will not learn the answer either, so they also incur the cost C.

If a student does not ask the question, he incurs a psychological cost of G for having to suppress the temptation to ask. Regardless of what happens, every student gets a utility B simply from sitting in the lecture.

(a) Write down the normal form of this game.

(b) Suppose B = 10, C = 5, and G = 4. Does this game have any Dominant Strategy

Equilibria? Does it have any Nash Equilibria? If so, find them.

(c) Suppose B = 10, C = 4, and G = 5. What about DSE and NE in this case?

(d) In case (c) above, the sum of players' payoffs could be higher if they acted differently. Can you suggest a mechanism the professor could use that would make the students pick better strategies?


Related Discussions:- Determine nash equilibria

Interaction of enviornment and gene , entropy test to measure interaction b...

entropy test to measure interaction between enviornmental factors and genes

Probability, .1 Modern hotels and certain establishments make use of an ele...

.1 Modern hotels and certain establishments make use of an electronic door lock system. To open a door an electronic card is inserted into a slot. A green light indicates that the

Principal components analysis, In the context of multivariate data analysis...

In the context of multivariate data analysis, one might be faced with a large number of v&iables that are correlated with each other, eventually acting as proxy of each other. This

Hydraulic actuator design matrix, The range of actuator design parameters h...

The range of actuator design parameters have been provisionally assessed and are presented in Table (3). You are required to determine the following parameters: The circumfer

#title. .explanatory factor analysis, how to compute reliability coefficien...

how to compute reliability coefficient for extracted factors in factor analysis?

Determine how the ordinary least squares, Question Following the general...

Question Following the general methodology used by econometricians as explained in the session for week 1 (eight steps), explain how you would proceed to determine if a good com

Calculation for discrete series or ungrouped data , Calculation for Discre...

Calculation for Discrete Series or Ungrouped Data The formula for computing mean is = where,          f  = fr

Multiple regression analysis, Complete the multiple regression model using ...

Complete the multiple regression model using Y and your combined X variables.  State the equation.  Next, make sure that you evaluate overall model performance with the Anova table

Optimal number of cluster, Try different numbers of clusters in your progra...

Try different numbers of clusters in your program (K=2...15) and build a plot that shows the dependency between number K and value of RSS function on the last iteration. What is th

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd