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- Briefly discuss the table and the topic.Once an original decision has been made, what happens on a game tree with each additional decision made by a player? A. A root sprouts downward. B. A new branch is formed. C. A new tree is created. D. A merger occurs between two branches.Write the strategy sets for player 1 and player 2 and the set of strategy profiles for the following game:
- What is a payoff matrix?Game Theory Question A non-profit firm is on a local community online donation platform for a community event it wants to hold (only community members can donate via the website). The event will be held only if the non-profit firm collects $20,000 total from members of the community. Each member values the event at $500. Suppose that there are 100 community members. Community members can only donate by purchasing a lottery ticket from the firm. Each ticket costs $200 and only one ticket can be purchased per member. The proceeds will be collected by the firm. The lottery winner gets a premier meal at a local restaurant that's worth $100. Remember, the firm keeps all the donated money. If the amount of donations is less than $20,000, then the firm returns the donated money to the community members (since there'll be no event held but the lottery winner still gets to eat that fancy meal). If the donations sum up to $20,000, the community event will take place. What are the Nash…a. Draw a game tree that represents this game. How many proper sub- games does it have? b. Are there other game trees that would work? Explain briefly. c. Construct the matrix representation of the normal form of this dynamic game.
- Typed plz and asap thanksExercise 4.1 Amy and Bill simultaneously write a bid on a piece of paper. The bid can only be either 2 or 3. A referee then looks at the bids, announces the amount of the lowest bid (without revealing who submitted it) and invites Amy to either pass or double her initial bid. - The outcome is determined by comparing Amy's final bid to Bill's bid: if one is greater than the other then the higher bidder gets the object and pays his/her own bid; if they are equal then Bill gets the object and pays his bid. Represent this situation by means of two alternative extensive frames. Note: (1) when there are simultaneous moves we have a choice as to which player we select as moving first: the important thing is that the second player does not know what the first player did; (2) when representing, by means of information sets, what a player is uncertain about, we typically assume that a player is smart enough to deduce relevant information, even if that information is not explicitly given to…Economics If a person is playing chess with a Al(computer). Is this a sequential game or simultaneously game ?
- 8 Please use the game theory matrix to answer the following question We have 110,000 Homes • The low price is $79.95 and the high price is 10% more • Set up fees of $49.50 + $6.50 per subscriber The company's profit is based on its price and its competitor’s price: What is the contribution margin per house in each scenario? *Contribution margin = Price – total costsWhat is the Nash Equilibrium of the following game? |0, 0 Up Down 3, 2 |2, 1 3, 1 2, 6 4, 2 5,5 10, 0 a. (Down, D) b. (Down, C) c. (Up, A) d. (Up, B)No written by hand solution