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Joanna Has a Credit Card Account with Card Bank

question 117

Essay

Joanna has a credit card account with Card Bank. Card Bank's available strategies are to raise Joanna's credit card interest rate or do nothing. Joanna's available strategies are to transfer her Card Bank account balance to another creditor or do nothing. The strategy pay-offs are indicated below. Joanna has a credit card account with Card Bank. Card Bank's available strategies are to raise Joanna's credit card interest rate or do nothing. Joanna's available strategies are to transfer her Card Bank account balance to another creditor or do nothing. The strategy pay-offs are indicated below.    Does either player have a dominant strategy? Does the game have any Nash equilibria? What is the maximin strategy of each player in the game?
Does either player have a dominant strategy? Does the game have any Nash equilibria? What is the maximin strategy of each player in the game?


Definitions:

Desires

Strong feelings of wanting or wishing for something to happen or be the case.

Goals

Desired results or objectives that an individual or organization aims to achieve within a certain timeframe.

Vested Interest

A personal stake or involvement in an undertaking or situation, especially one expecting to gain some personal benefits.

Comprehensiveness

The quality of being complete and including all or nearly all elements or aspects of something.

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