Question: Two players pick a number in [0,1]. The player whose number is closest to half the average of the two numbers gets +1, the other
Two players pick a number in [0,1]. The player whose number is closest to half the average of the two numbers gets +1, the other player gets -1. If both players are equally close, they get zero.
Suppose player 1 picks x (0 < x 1). What is the set of best responses for player 2? And, what is the Nash equilibrium for this game?
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