eldorado.tu-dortmund.de/server/api/core/bitstreams/6364a940-d4d7-426b-99a7-5e0903fe2193/content
means we have to consider the following
cases:
Case c1 c2 c3
1 + + +
2 + + 0
3 + 0 +
4 + 0 0
5 0 + +
6 0 + 0
7 0 0 +
8 0 0 0
c1 stands for the participation constraint, c2 for the upper bound constraint [...] inequality holds
≥ (−0.4584 + 0.1485)
(2 − 4 2) .
This condition is fulfilled for any if ≥ 0.324, which is indeed the case.
It is therefore possible to state that 0.3854 and 0.324 are the lower bounds [...] equilibrium
is given by 0.3854, i.e. C ∈ [0.3854, 1 2 ]. The corresponding upper bound for the
share player two chooses in equilibrium is √
1 2 − 1
4 and the lower bound is 0.324, i.e.
C ∈ [0.324, √
1 2 − 1
4 …
