Q5. 2x2 Games (3) • For each of the games below Indicate whether game is zero-sum, Circle the best responses, Identify all Nash equilibrium (NE), Characterize the NE as payoff dominant (PD) and/or risk dominant (RD) Q6. Elements of a Game (4) • Rewrite the following games in terms of game elements only Q7. Nash Equilibrium (4) • Our classroom needs a better projector. There are N students, and each student possesses a token. A projector costs K tokens. K is greater than 2, but less than N. A projector benefits everyone and I am soliciting donations from the class. The action of each student is to either donate a token or avoid me. What is the Nash equilibrium for this game? Hint: Numbers can help: N=40 for our class. And consider K=3, for instance. Assumption #1: Given a choice between getting a new projector and keeping your token, you value the projector. Assumption #2: You don’t like looking foolish. Q8. Mixed-Strategy Nash Equilibrium (4) • Draw the Better-Reply Correspondence • Explain the graph in your own words Assume COL player picks Left with probability p and ROW player picks Up with Left Right Up 2, 1 0, 0 Down 0, 0 1, 2
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