Back to Assignment

Attempts $$ Keep the Highest $/2$

$7.$ Solving for dominant strategies and the Nash equilibrium

Suppose Antonio and Trinity are playing a game that requires both to simultaneously choose an action: Up or Down. The payoff matrix that follows shows the earnings of each person as a function of both of their choices. For example, the upper$-$right cell shows that if Antonio chooses Up and Trinity chooses Down, Antonio will receive a payoff of $6$ and Trinity will receive a payoff of $4.$

$\backslash$table$[[,,$Trinity$],[,,$Up$,$Down$],[$Antonio$,$Up$,6,3,6,4],[$Down$,3,3,7,4]]$

In this game, the only dominant strategy is for $$ to choose $$

The outcome reflecting the unique Nash equilibrium in this game is as follows: Antonio chooses $$ and Trinity chooses $.$

Continue without saving