ECN 601 Topic 5 Problems Chapter 15 Chapter 16 Grand Canyon

1. Consider the following sequential game in which player 1 selects first between A, B, C, and D,andplayer2selects secondeitherXorY.Whichstrategy doesplayer1selectinequilibrium? 2. fr1me05h.Ch15-2.01: What is the Nash equilibrium of the following game? 3. fr1me05h.Ch15-3.01: Which of the following is true of a prisoner’s dilemma? 4. Consider the following game representing hockey team’s choices to wear a helmet or not prior to the NHL mandating the wearing of helmets. 5. What is the Nash equilibrium? 6. What is/are the Nash equilibrium/equilibria of the following game? 7. What is/are the Nash equilibrium/equilibria of the following in which two related firms are deciding on a technology to adopt? 8. fr1me05h.Ch15-4.03: When are players playing mixed strategy? 9. fr2me05h.Ch15-01: Which of the following is true of a Nash equilibrium? 10. fr2me05h.Ch15-02: Consider the following game. What is the Nash equilibrium? 11. fr2me05h.Ch15-03: Consider the same game as in the previous question. Imagine that player 1 now goes first, with player 2 responding to player 1’s action. What is the equilibrium path? 12. fr2me05h.Ch15-04: A trigger strategy 13. fr2me05h.Ch15-03: Consider the same game as in the previous question. Imagine that player 1 now goes first, with player 2 responding to player 1’s action. What is the equilibrium path? 14. fr2me05h.Ch15-05: Which of the following is true of a prisoner’s dilemma? 1. fr1me05h.Ch16-1.01 Question 1:Consider the following bargaining game between an employee and a manager. If the employee can credibly commit to a strategy, how much will the employee expect to earn? 2. fr1me05h.Ch16-1.02 Question 1: Consider the following bargaining game between an employee and a manager. If the employee can credibly commit to a strategy, how much will the employee expect to earn? 3. fr1me05h.Ch16-2.01 Question 1 of 2:Alex and Beth are bargaining over the division of s600,000. If they fail to reach agreement, Alex would receive $100,000 and Beth would receive $200,000. Which of the following is a likely result? 4. fr1 me05h.Ch16-2.02 I Question 2 of 2:A company announces a new incentive program offering salespeople an extra $100 bonus for every sale. I sale prices are resolved through bargaining, what should we expect to see? 5. fr2me05h.Ch16.01 Question 1 of 5:Driving by a factory, you observe union workers on strike. Which of the following likely characterized the bargaining between the union and the factory's owners? 6. fr2me05h.Ch16.02: 4 Question 2 of 5:Ellie and Jacob are bargaining over the future profit of their lemonade stand. If Ellie has an outside option of $6o and Jacob has an outside option of $3o, which of the following is most likely to be true? 7. fr2me05h.Ch16.03: Which of the following is most likely to increase the amount you receive in a bargain? 8. fr2me05h.Ch16.04: Question 4 of 5:Two companies are considering a joint venture that can yield $600,000 in revenue. To succeed, the joint venture requires a cash investment from Company A and the use of a factory owned by Company B. Specifically, Company A would need to invest $200,000 and Company B's factory would need to switch away from current production worth $5oo,000. Which of the following is most likely? 9. fr2me05h.Ch16.05: Question 5 of 5:A soccer player is expected to generate $1.6 million in annual revenue for a team. If his negotiated salary is $800,000 per year, what is the value of his outside option?