Consider the following guessing game and rules: • You and your opponent simultaneously submit guesses that must be whole numbers between 11 and 20 (inclusive). • You earn a base prize equal to the number you declare. (So if you say 12, you earn 12 dollars.) • You earn a bonus of 20 dollars if your guess is exactly one less than your opponent’s guess. (a) Does a player in this game have any dominant or dominated strategies? (b) What are the Nash Equilibria of this game? Justify why these are equilibria
Are there any questions left?
New questions in the section Business