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Assume that there are two players in a game: Offense and Defense. Each player can choose one strategy to play: Run or Pass. If both Offense and Defense choose to play Run, the payoff for Offense will be -4 and the payoff for Defense will be 10. If both Offense and Defense choose to play Pass, the payoff for Offense will be -2 and the payoff for Defense will be 8. If Offense plays Run and Defense plays Pass, the payoff for Offense is 6 and the payoff for defense is -2. If Offense plays Pass and Defense plays Run, the payoff for Offense is 12 and the payoff for Defense is 0.

Draw the normal form representation for this game. The normal form representation is the same as the payoff matrix. Indicate which strategy combination(s) is (are) the pure-strategy Nash equilibrium(a).

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Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M92202579

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