QUESTION T Player l Player lI Player II PlayerI A231 310 B 3

QUESTION T Player l Player lI Player II PlayerI A2.3,1 3.1,0 B 3,2,-1 1,3,2 A 1,3,3 1,3,2 Player B 3,1,0 0,0,4 The game above is a simultaneous three player game between players 1, 2, and 3. Player 1 chooses between A and B, Player 2 between C and D and Player 3 between E and F. In the game above, the strategy profle in which Player 1 plays Player 2 plays and Player 3 plays is a Nash Equilibrium profile.

Solution

Player 1 will choose B player 2 will choose D and Player 3 will choose E.

Because the nash equilibrium is the mutual best response. In the node Where Player 3 choose E. Player 1 will never choose A. So the mutual best response is player 1 choosing B and player 2 choosing D.

In the node with player 3 choosing F there is no mutual best response for player 1 and player 2.