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Business, 25.04.2020 04:24 mitch729

Use the following payoff matrix for a one-shot game to answer the accompanying questions. Player 2 Strategy X Y Player 1 A 32, 32 4, -25 B -25, 4 40, 40 a. Determine the Nash equilibrium outcomes that arise if the players make decisions independently, simultaneously, and without any communication. Instructions: In order to receive full credit, you must make a selection for each option. For correct answer(s), click the box once to place a check mark. For incorrect answer(s), click twice to empty the box. (32,32) unchecked (40,40) unchecked (-25,4) unchecked (4,-25) unchecked Which of these outcomes would you consider most likely? (32,32) (-25,4) (40,40) (4,-25) b. Suppose player 1 is permitted to "communicate" by uttering one syllable before the players simultaneously and independently make their decisions. What should player 1 utter? B A What outcome do you think would occur as a result? (-25,4) (32,32) (4,-25) (40,40) c. Suppose player 2 can choose its strategy before player 1, that player 1 observes player 2’s choice before making her decision, and that this move structure is known by both players. What outcome would you expect? (32,32) (40,40) (-25,4) (4,-25)

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