Question

Two friends Aditi and Raju are deciding independently whether to watch a movie or go to a music concert that evening. Both friends would prefer to spend the evening together than apart. Aditi would prefer that they watch a movie together, while Raju would prefer that they go to the concert together. The payoff matrix arising from their actions is presented below. p and (1 - p) are the probabilities that Aditi will decide in favour of the movie and concert, respectively. Similarly, q and (1 - q) are the probabilities that Raju will decide in favour of the movie and concert, respectively. Which one of the following options correctly contains all the Nash Equilibria ?	Raju
Aditi
Movie	2,1
Concert	0,0

• A. $(p=0,q=0);(p=1,q=1);(p=\frac{2}{3},q=\frac{1}{3})$
• B. $(p=0,q=1);(p=1,q=0);(p=\frac{2}{3},q=\frac{1}{3})$
• C. $(p=0,q=0);(p=1,q=1);(p=\frac{1}{3},q=\frac{2}{3})$
• D. $(p=0,q=1);(p=1,q=0);(p=\frac{1}{3},q=\frac{2}{3})$

Answer 1

Answer: (A)

$(p=0,q=0);(p=1,q=1);(p=\frac{2}{3},q=\frac{1}{3})$

Answer 2

The correct option is (A) : $(p=0,q=0);(p=1,q=1);(p=\frac{2}{3},q=\frac{1}{3})$.