ECN 601 Week 5 Problems: Chapter 15, Chapter 16

(ECN 601 Week 5 Problems)

ECN 601 Week 5 Problems: Chapter 15

1. Consider the following sequential game in which player 1 selects first between A, B, C, and D, and player 2 selects second either X or Which strategy does player 1 select in equilibrium?
2. Ch15-2.01: What is the Nash equilibrium of the following game?
3. 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. Ch15-4.03: When are players playing mixed strategy?
9. Ch15-01: Which of the following is true of a Nash equilibrium?
10. Ch15-02: Consider the following game. What is the Nash equilibrium?
11. 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. Ch15-04: A trigger strategy
13. 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. Ch15-05: Which of the following is true of a prisoner’s dilemma?
    

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ECN 601 Week 5 Problems: Chapter 16

1. 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. 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. 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. 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. 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. Ch16.03: Which of the following is most likely to increase the amount you receive in a bargain?
8. 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. 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?