Question: Two animals are fighting over some prey. Each can behave like a dove or like a hawk. The best outcome for each animal is that
Two animals are fighting over some prey. Each can behave like a dove or like a hawk. The best outcome for each animal is that in which it acts like a hawk while the other acts like a dove; the worst outcome is that in which both animals act like hawks. Each animal prefers to be hawkish if its opponent is dovish and dovish if its opponent is hawkish. A game that captures this situation is shown in table below. Dove Hawk Dove 3,3 1,4 Hawk 4,1 0,0 A. Do we have Nash Equilibrium in this game? If yes, show them in detail. B. Do we have such a kind of game in real life or business environment? Explain it with the use of an example
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