Which statements are correct with regard to a static game? (a) For a strategy to be rationalisable, it must correspond to a Nash equilibrium outcome. (b) A Nash equilibrium in mixed strategies (NEMS)...


Which statements are correct with regard to a static game?


(a) For a


strategy to be


rationalisable,


it must


correspond


to a Nash


equilibrium


outcome.


(b) A Nash


equilibrium


in mixed


strategies


(NEMS)


takes the


form of a


lottery


amongst


rationalisable


and nonrationalisable


pure


strategies.


(c) Suppose


there exists


no pure


strategy


Nash


equilibrium.


There will at


least exist


two


rationalisable


strategies


available to


each player.



May 04, 2022
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