Nash equilibria - Samenvattingen, Aantekeningen en Examens

Consider a market in which two firms produce homogeneous goods. Market demand is given by Q = 300 − 2p. Firm 1 has capacity K1 = 130 while firm 2 has capacity K2 = 70. The marginal cost of product ion is the same for the two firms and is c1 = c2 = 30. STATEMENT TO DISCUSS: The pair of prices (p1 = 50; p2 = 50) is a Nash equilibrium of the game in which firms choose prices simultaneously. Statement 2 In country X pharma companies sell vaccines to the National Health System. The Health Ministry ...

S1. (a) For Rowena, Up strictly dominates Down, so Down may be eliminated. For Colin, Right strictly dominates Left, so Left may be eliminated. These actions leave the pure-strategy Nash equilibrium (Up, Right). (b) Down is dominant for Rowena and Left is dominant for Colin. Equilibrium: (Down, Left) with payoffs of (6, 5). (c) There are no dominated strategies for Rowena. For Colin, Left dominates Middle and Right. Thus these two strategies may be eliminated, leaving only Left. Wi...

MULTIPLE CHOICE 1. A football team has the chance of scoring the game-winning touchdown on the last play of the game. It can either run or pass. The defense can play for the run or play for the pass. The following normal form lists the payoffs from the game made up by this last play. The payoffs are probabilities of winning the game. Offense Defense Defend Pass Defend Run Pass 0, 1 1, 0 Run 1, 0 0, 1 What is the defense’s dominant strategy? a. Defend the run. b. Defend the pass....

ECON 444 Problem Set #2 - questions + answers Economics of The Corporation (The Pennsylvania State University) 2022-2023 latest update solution Econ 444 (Corporate Economics) Problem Set #2 Practice Exam Problem 1. Bill and Ted sell used CDs at music festivals around southern California. Each is deciding whether or not to set up their booth at Coachella this year. The festival takes place near ...

ECO 301 TEST BANK FOR CHAPTER 5 Game Theory 1. A football team has the chance of scoring the game-winning touchdown on the last play of the game. It can either run or pass. The defense can play for the run or play for the pass. The following normal form lists the payoffs from the game made up by this last play. The payoffs are probabilities of winning the game. 2. Consider the same football situation as in the previous question, but now suppose the p...

Macroeconomics Practice Retake Exam 2019 Questions --> answers to be found in another free downloadable document...