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In: Economics

Harry Potter and Gandalf are out consuming serious adult beverages (butter beer or something else if...

Harry Potter and Gandalf are out consuming serious adult beverages (butter beer or something else if you are so inclined to imagine it) and they enter into a dispute. Harry can choose to ride his broom or use his wand. Gandalf can use his staff or ride his heckin’ big white horse. The following game describes their engagement. Find all Nash Equilibria in the following game. 4 marks.

Gandalf

Staff

Horse

Harry Potter

Wand

6, 4

4, 8

Broom

5, 11

8, 10

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