Question

Solving for dominant strategies and the Nash equilibrium Suppose Andrew and Beth are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Andrew chooses Right and Beth chooses Right, Andrew will receive a payoff of 6 and Beth will receive a payoff of 5. Beth Left Right Andrew Left 8, 4 4, 5 Right 5, 4 6, 5
The only dominant strategy in this game is for to choose .
The outcome reflecting the unique Nash equilibrium in this game is as follows:
Andrew chooses and Beth chooses .

Answer 1

Answer:

Attached is the pictorial view of the solution

i)The only dominant strategy is BETH to choose RIGHT

ii) the outcome reflecting the unique Nash equilibrium in this game is as follows Andrew chooses LEFT and Beth chooses RIGHT

Explanation:

Andrew payoff = 6 when he chooses Right

Beth payoff = 5 when he chooses right

The given data

Beth :   Left ; 4,5. right ; 4,5

Andrew : Left ;  8,4. right ; 5,6

i)The only dominant strategy is BETH to choose RIGHT

ii) the outcome reflecting the unique Nash equilibrium in this game is as follows Andrew chooses LEFT and Beth chooses RIGHT