1. In the game shown below, change the ranking of values that Sally and Joe place on leisure and grades to change the game from a prisoners€™ dilemma into a game of chicken with two equilibria.
2. Give advice to Joe about how to change the game to his advantage.

Upper left is an equilibrium if both students rank the outcomes as follows:
a. A grade of B and leisure is better than
b. a grade of A and no leisure, which is better than
c. a grade of C and leisure, which is better than
d. a grade of B and hardwork.

Transcribed Image Text:

JOE Shirk Work shirk work C+Leisure, C+Leisure B, B+Leisure B+Leisure, B A, A