Help to solve Identify all purestrategy Nash equilibria of t
Help to solve
Identify all pure-strategy Nash equilibria of the following game:Solution
Pure nash equilibrium is a condition where both players would not be willing to move as they will end with lesser pay off.
Player 1 has chances of choosing (b) more than other choices and player 2 has willingess to choose E more than other choices.Possible nash equilibria: when player 1 moves
(12,30) , (35,93),(5,64)
When player 2 moves first:
(98,10), (35,93), (80,80)
Hence the common equilibrium is (35,93)
(35,93) is nash equilibrium.
