a.Discuss five assumptions of game theory b.Explain three steps required to find a saddle point
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a.Discuss five assumptions of game theory
b.Explain three steps required to find a saddle point
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- Which of the following statements is not correct? A. A game consists of players, rules, outcomes, and payoffs. B. Game-theoretic situations are those involving payoff interdependence. C. In static games of complete information players move once simultaneously. D. Rational behavior and common knowledge are sufficient to ensure a unique prediction of the outcome of each game.Q. 4 GAME THEORY2. Find the range of values for "p" and "q" that will render the entry (5, 5) a saddle point in the following two-person zero-sum game. (1 q 6 A = (p 5 10 \6 2 3
- 2.)A jar contains 2 red, 3 green, and 6 blue marbles. In a game a player closes their eyes, reaches into the jar and randomly chooses two marbles. The player wins the game if at least one of their marbles is red. Suppose it costs $1 to play the game and the winning prize is $3. Mathematically analyze this game and determine if it is in your financial interest to play the game.b) Briefly explain the sense in which a Nash equilibrium corresponds to a "no regret outcome."GAME THEORY For the following game: 1. Find the saddle point. 2. What is the value of the game? 3. Interpret the solution. 4. The use of software to solve problems is not allowed. Strike Friend Contrary Retreat 5 Strike Retreat 3 *Please be as clear and legible as possible. Show and explain in detail all the steps. Thank you. 8 4
- Determine the optimal strategy for the situation by representing it as a game and finding the saddle point. State your final answer in the terms of the original question. In an ongoing price war between Burger Haven (locally owned) and MacArches (a chain), both restaurant managers plan to change the price of a hamburger by 10¢. If they both raise their prices, there will be no change in their market shares, but if they both lower their prices, the chain's national advertising will ensure that MacArches gains 6% of the market. Again because of advertising, if Burger Haven lowers their price and MacArches raises their price, Burger Haven will gain only 5% of the market, but if Burger Haven raises their price and MacArches lowers their price, MacArches will gain 7% of the market. Use this information to decide what the managers should do. MacArches R % Burger Haven % % What does L represent? L represents lowering the price by 10¢. L represents raising the price by 10¢. What does R…Scenario: Researchers were interested in how social situations can influence stress-induced eating. They grouped participants according to self-reported stress-induced eating habits: consistently eating more (hyperphagics) or eating less (hypophagics) when stressed. Each participant was then exposed to one of three social situations: (1) a social inclusion condition, where subjects were told that a confederate partner had approved of a video they had made answering some questions and was looking forward to meeting them, (2) a neutral condition, where they were told their partners could not meet them because their partners had to cancel their participation, or (3) a social exclusion condition, where they were told that their partner had decided not to meet them after viewing their video. Subjects were then given an ice cream taste test and the amount of ice cream consumed was measured. Question: In this particular scenario, how many hypotheses are there? 0 1 2 3