Question: We consider a game between two players, Alice and Bob. Alice chooses a number x (between -infinity and +infinity), and Bob chooses a number y
We consider a game between two players, Alice and Bob. Alice chooses a number x (between -infinity and +infinity), and Bob chooses a number y (between -infinity and +infinity). Alice's payoff is given by the following function: 9 x + 30 x y - 17 x^2 . (the last entry is "x squared".) Bob's payoff is given by the following function: 41 y + 21 x y - 50 y^2. (the last entry is "y squared".) Calculate Bob's strategy in the (unique) Nash equilibrium of this game.
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