Consider the following extensive form game between two players 1 and 2. (i) (ii) (iii) Player...

 

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Consider the following extensive form game between two players 1 and 2. (i) (ii) (iii) Player 1 Player 2 4 1 N 0 0 A 1 E 1 2 R B N/ 3 4 3 1 What is the corresponding strategic form? What are the Nash equilibria in pure strategies of the strategic form derived in (i)? E 1 0 0 Y 22 2 (30 marks) (10 marks) Which of the Nash equilibria in (ii) are subgame perfect? Use (30 marks) backward induction to derive your answer. Consider the following extensive form game between two players 1 and 2. (i) (ii) (iii) Player 1 Player 2 4 1 N 0 0 A 1 E 1 2 R B N/ 3 4 3 1 What is the corresponding strategic form? What are the Nash equilibria in pure strategies of the strategic form derived in (i)? E 1 0 0 Y 22 2 (30 marks) (10 marks) Which of the Nash equilibria in (ii) are subgame perfect? Use (30 marks) backward induction to derive your answer.

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i The corresponding strategic form of the game is Player 1Player 2 ENR NB FY ii ... View the full answer