There are 2 players and each chooses a number in {1,2,3,4}. Player 1 wins and Player 2 loses if the difference of the numbers chosen, computed as the larger number chosen minus the smaller number chosen, is even and strictly greater than zero. Player 1 loses and Player 2 wins if that difference is odd and strictly greater than zero. If neither player wins, there is a draw.If and  describe the payoffs of players 1 and 2, respectively, that materialize if player 1 chooses  and player 2 chooses , then which of the following statements is true? We can model the described situation by a game in which and and . We can model the described situation by a game in which and and . None of the other alternatives is true. We can model the described situation by a game in which and .

There are 8 players. Each player chooses one of the numbers 2, 3, 4, 5, 6, 7, 8, 9 or 10. The player or players whose number(s) is (are) closest to twice of the average of all numbers chosen wins. The payoff of each player is 1 if she wins (regardless of whether or not there are other winners), and 0 if she loses.What is true in this guessing game? None of the other alternatives is true. For each player, choosing the number 2 is the only strategy that survives iterated elimination of strongly dominated strategies. For each player, choosing the number 10 is the strongly dominant strategy. No player has a strongly dominant strategy. For each player, choosing the number 10 is the only strategy that survives iterated elimination of strongly dominated strategies. Every player has a strongly dominated strategy.

Consider a game in which Myer and DJs simultaneously choose whether to advertise (ADV) or not advertise (NOT). If both firms opt to ADV, the payoffs are 10 to Myer and 7 to DJs. If both firms choose NOT, the payoffs are (5,8) where the first payoff is Myer’s and the second DJs’. If Myer plays NOT and DJs ADV, the payoffs are (20, 6). Finally, if Myer plays ADV and DJs Not, the payoffs are (15, 12), respectively. Which statement is (most) true?Group of answer choicesDJs has a dominant strategy.Myer does not have a dominant strategy.Myer’s best response to a strategy of ADV by DJs is to play NOT.The Nash equilibrium is (ADV, NOT), for Myer and DJs respectively.All of the above statements are true.

Player 1 has two options: L and R. If Player 1 chooses L, then Player 2 has two options; she can choose A or B. If Player 2 chooses A payoffs are (0; 1) and if she chooses B payoffs are (0; 0). If Player 1 chooses R, then Player 2 has two options; she can choose Y or N. If Player 2 shows Y payoffs are (0; x) and if she chooses N payoffs are (1; 2).Which of the following statements is true? A. 1 is the lowest level of x under which (L; A,Y ) is a subgame perfect equilibrium of this game B. 2 is the lowest level of x under which (L; B,Y ) is a subgame perfect equilibrium of this game C. No matter what the level of x is, (L; A,Y ) is not a subgame perfect equilibrium of this game D. 2 is the lowest level of x under which (L; A,Y ) is a subgame perfect equilibrium of this game

Consider a pricing game between Coles and Woolworths. Each firm simultaneously chooses whether to price High or Low. If both firms price Low, the payoffs are 8 to Coles and 2 to Woolworths. If both firms choose High, the payoffs are 3 to Coles and 7 to Woolworths. If Coles opts for Low and Woolworths High, Coles gets 5 and Woolworths 4. Finally, if Coles plays High and Woolworths Low, Coles gets 7 and Woolworths receives a payoff of 6. Which statement is true?Correct!  the outcome of the game is (Low, High), where Coles if playing the first strategy Low and Woolworths High; this game is a prisoners’ dilemma   the outcome of the game is (High, Low); this game is a prisoners’ dilemma   the outcome of the game is (Low, Low); this game is not a prisoners’ dilemma   the outcome of the game is (High, High); this game is a prisoners’ dilemma

Consider a game in which Myer and DJs simultaneously choose whether to advertise (ADV) or not advertise (NOT). If both firms adopt NOT, the payoffs are (6, 10) to Myer and DJs, respectively. If both firms choose ADV, the payoffs are (5, 6). If Myer plays ADV and DJs NOT, the payoffs are (8, 5). Finally, if Myer plays NOT and DJs ADV the payoffs are (4, 12). Which statement is true? Group of answer choices The Nash equilibrium is (NOT, NOT); this game is a prisoners’ dilemma. The Nash equilibrium is (ADV, NOT); this game is a prisoners’ dilemma. The Nash equilibrium is (ADV, ADV); this game is a prisoners’ dilemma. The Nash equilibrium is (NOT, ADV); this game is a prisoners’ dilemma. The Nash equilibrium is (ADV, ADV); this game is not a prisoners’ dilemma.