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Find a Nash equilibrium using back- ward induction for the following tree: 56 14 3 1:2 1: 07 45 2:1 20 2.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Find a Nash equilibrium using back-
ward induction for the following tree:
56
•14
3.
1
2:2
•38
1:2
1
1:
0 7
45
1
2:1
20

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