I came across this question in QuantGuide:
You and your friend play a game where you both select an integer
1−100. The winner receives
$1 from the loser. The winner is the player who selects the strictly higher number. If there is a tie, then nothing happens. However, a player can also win by selecting a value exactly
2 below the larger integer. For example, if you select
80 and your friend selects
82, you are the winner in this case. Assume both you and your friend play optimally. The optimal strategy here is a mixed strategy, where you select a random value
X from some appropriately determined distribution. Find
Var(X).
My Approach:
I was thinking of evaluating specific cases of equilibria but was unable to do so.
2026-03-28 10:17:29.1774693049
Random Selection Game And Mixed Strategy Nash
94 Views Asked by Bumbble Comm https://math.techqa.club/user/bumbble-comm/detail AtRelated Questions in PROBABILITY-THEORY
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