Question: 5. Consider a simultaneous bid poker game. First, Nature selects :51 and :52. These numbers are independently and uniformly distributed in the interval (0,1). Player

 5. Consider a simultaneous bid poker game. First, Nature selects :51

and :52. These numbers are independently and uniformly distributed in the interval

5. Consider a simultaneous bid poker game. First, Nature selects :51 and :52. These numbers are independently and uniformly distributed in the interval (0,1). Player 1 observes m1 and player 2 observes x2. Neither player observes the number for the other player but knows the distribution. The players simultaneously choose either to fold or bid. If both players fold, they both get payoff -1. If one player folds and the other player bids, the player who folds gets -1 and the player who bids gets 1. If both players bid, the player with the higher number gets 2 while the player with the lower number gets -2. Compute the ENE. (15 marks)

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