Nash's demand game6:-

Compute and describe the Nash equilibria of the following static bargaining game. Simultaneously and independently, players 1 and 2 make demands m1 and m2. These numbers are required to be between 0 and 1. If m1 + m2 ... 1 (compatible demands, given that the surplus to be divided equals 1), then player 1 obtains the payoff m1 and player 2 obtains m2. In contrast, if m1 + m2 > 1 (incompatible demands), then both players get 0.

In addition to describing the set of equilibria, offer an interpretation in terms of bargaining weights as in the standard bargaining solution.