Cheng Lee of Singapore and Josh Andrews from the United States are the odds-on favorites to...

 

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Cheng Lee of Singapore and Josh Andrews from the United States are the odds-on favorites to win the 100-meter butterfly at the 2020 Olympic games in Tokyo. Each swimmer is tempted to enhance his chances of winning the event by doping. The Singapore Olympic Committee awards $1 million to gold medal winners, $500,000 to silver medal winners, and $250,000 to bronze medal winners. The United States Olympic Committee awards $37,500 to gold medal winners, $22,500 for silver medal winners, and $15,000 for bronze medal winners. Each individual must decide whether or not to dope. We will assume that if one person dopes and the other does not, the doper will win the gold medal and the other person will win the silver medal. If both dope (or neither dopes), the odds that each person will win the gold is 50%, which implies that the odds of winning the silver is also 50%. a. Draw a matrix that shows each person's decision and the associated payoffs. Cheng Lee of Singapore and Josh Andrews from the United States are the odds-on favorites to win the 100-meter butterfly at the 2020 Olympic games in Tokyo. Each swimmer is tempted to enhance his chances of winning the event by doping. The Singapore Olympic Committee awards $1 million to gold medal winners, $500,000 to silver medal winners, and $250,000 to bronze medal winners. The United States Olympic Committee awards $37,500 to gold medal winners, $22,500 for silver medal winners, and $15,000 for bronze medal winners. Each individual must decide whether or not to dope. We will assume that if one person dopes and the other does not, the doper will win the gold medal and the other person will win the silver medal. If both dope (or neither dopes), the odds that each person will win the gold is 50%, which implies that the odds of winning the silver is also 50%. a. Draw a matrix that shows each person's decision and the associated payoffs.

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Payoff Matrix Doping vs Not Doping Josh US Cheng Lee Singapore ... View the full answer