Two farmers Anil and Bala are each deciding how to deal with pest insects that destroy the their adjacent fields. They have the choice of using either Integrated Pest Control (IPC) or Terminator (T). The payoffs for their choices in terms of tonnes of crop are shown in the diagram. Which of the following statements incorrect? Bala's payoff 4 3 2 1 a LT P TH T.T 2 3 Anil's payoff 4 T.I LI-Both use Integrated Pest Control (IPC) T.T-Both use Terminator TI-Anil uses Terminator, Bala uses IPC LT-Anil uses IPC, Bala uses Terminator Select one: • a. Pareto-efficiency does not necessarily mean that we should approve of it. b. (1, 1) Pareto-dominates (T, T). c. (1, 1) and (I, T) are Pareto-efficient. d. If Anil and Bala moving from (T, T) to (1, 1), there is Pareto-improvement as both farmers are better off. e. Pareto criterion tells us that (1, 1) is the best outcome as it is Pareto-efficient.

4. Consider a two player game with Fred and Barney, who tal turns removing matchsticks from a pile. They start with 33 matchsticks, and Fred goes first. On each turn, ecach player may remove either one, two, three, four, or five matchsticks. The player to remove the last matchstick wins the game. What are the optimal strategies for each player? Who will win? b. Suppose now that they can remove up to six matchsticks, how will the optimal strategies change for- each player? a.

Consider a small town with two competing restaurants: Doug’s Diner and Betty’s Bistro. There is 1000profit to be made in the market. Each period, the restaurants simultaneously decide whether to offer high orlow quality food. In order to offer high quality food, each restaurant must hire an expert chef, which incursan additional cost of 100. The restaurants split the profit equally if they offer the same quality of food. Ifone restaurant offers high quality food while the other offers low quality food, the high quality restauranttakes four fifths of the profit and the low quality restaurant takes one fifth of the profit.(a) Draw up the normal form game matrix, showing the players, strategies, and payoffs.(b) Determine the Nash equilibrium of this game.(c) Explain how the restaurant owners could both be better off than in the Nash equilibrium if they wereable to cooperate. Is the town as a whole better off or worse off when the firms cooperate? Why or whynot

fnan421 Word Gözden Geçir Görünüm Varam V Ne yapmak isted ginzi soyieyin 2) Two firms, X and Y, are planning to market their new products. Each firm can develop TV, Laptop. Market research indicates that the resulting profits to each firm for the alternative strategies are given by the following payoff matrix: FIRM Y TV LAPTOP PHONE FIRM X TV 30, 30 50, 35 20, 50 LAPTOP 40,70 20, 20 50,80 PHONE 50,20 80,50 10,10 A) Find the Nash equilibria for this game, assuming that both firms make their decisions at the same time. (explain the decision step by step)i B) If each firm is risk averse and uses a maximin strategy, what will be the resulting equilibrium? (explain the decision step by step);

Consider the Battle of the Sexes game illustrated here. Find all ESS’s.

Problem Consider the following finitely repeated date game. Write down a subgame perfect equilibrium. You can do this using informal descriptions of the strategies. Iya Froyo Iva Is Frou Froyo 0,0 6,1 1,5 0,0

Please help with two images Just the answer

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age Which of the following statements is the best description of a Nash equilibrium? Select one: O a. An equilibrium outcome achieved by cooperation between players in the game b. An outcome that is achieved when players in the game have jointly maximized profits and divided those profits according to market share of each player O c. An outcome where each player's strategy depends on the behaviour of its opponents d. An outcome where each player's best strategy is to maintain its present behaviour given the present behaviour of the other players Next page

I need a good explanation on this question please. Is there really a strategy here? I'm confused since mixed strategies are not allowed.