Kelly and Karl Can Vote for or Against a Public

question 19

Essay

Kelly and Karl can vote for or against a public project. Their payoffs are given in the table: a. What are the pure-strategy Nash equilibria if any?
b. What is the mixed-strategy Nash equilibrium?

---

Definitions:

Direct Labour

Employees who play a fundamental role in the assembly or creation of a company's products, contributing directly to the output.

Factory Overhead

Costs related to operating a manufacturing facility not directly tied to a specific product, including maintenance, utilities, and equipment depreciation.

Process Manufacturers

Companies that produce goods in bulk by combining ingredients or raw materials through a sequence of measured steps.

Continuous Flow

A production process that operates without any interruptions, producing goods at a constant rate.