Q1-) Analyze payoff matrix below. a-) Consider the grim trigger strategy for the game? Analyze the conditions for which this strategy constitutes an subgame perfect equiillbria. b-) Analyze the conditions for the tit for tat strategy to be equilibrium for the following histories: Histories that ends with (C,C) and (C,D) NOTE a = 1 h = 7

Algebra: Structure And Method, Book 1
(REV)00th Edition
ISBN:9780395977224
Author:Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Publisher:Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Chapter2: Working With Real Numbers
Section2.6: Rules For Multiplication
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Q1-) Analyze payoff matrix below.

a-) Consider the grim trigger strategy for the game? Analyze the conditions for which this strategy constitutes an subgame perfect equiillbria.

b-) Analyze the conditions for the tit for tat strategy to be equilibrium for the following histories: Histories that ends with (C,C) and (C,D)

NOTE a = 1 h = 7

p1/p2
D
(a+h+1),(a+h+1)
0, (a+h+3)
D
(a+h+3),0
1,1
Transcribed Image Text:p1/p2 D (a+h+1),(a+h+1) 0, (a+h+3) D (a+h+3),0 1,1
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