Hey there, I\'m currently working on a multi-step problem where part b) asks for
ID: 1197335 • Letter: H
Question
Hey there, I'm currently working on a multi-step problem where part b) asks for the PSNEs and SPNEs. I have already put the game into normal form and have worked out all of the pure strategies each player has. Normally I could solve the PSNE and SPNE question through backwords induction. However, I'm confused because it appears that player 2 has no preference on his available choices no matter what player 1 picks and that player 1 therefore has no preference on his choices because player 2's choice would appear to be random.
Is there just no Nash equilibrium here then or am I missing something? Thanks for the help!
Explanation / Answer
There is no nash equilibrium in this case.