Microeconomics 18th Edition by Campbell McConnell, Stanley Brue, Sean Flynn

Exercise 3

Is the game shown by Figure 11.3 in the chapter (not this appendix) a zero-sum game or is it a positive-sum game How can you tell Are there dominant strategies in this game If so, what are they What cell represents a Nash equilibrium and why Explain why it is so diffi cult for Uptown and RareAir to achieve and maintain a more favorable cell than the Nash equilibrium in this single-period pricing game.