! " #
$ %&
'
1
JDIC (Mod1)
'
*
# + "
* +
' "
" 
." " " 
" " /" " "
"
." % & 
Challenger
In Out
Incumbent
The first number is the
A F 1, 2
payoff of the challenger.
The second number is the
payoff of the incumbent.
2, 1 0, 0
,
2
JDIC (Mod1)
# + "
Player 1
" " & "

" H T
&" " "& " 1
" . 
' + 2 Player 2 Player 2
" / "
" &1 . H T H T
$ " % & "
& 3
& "4 "
" " 5 " 1, 1 1, 1 1, 1 1, 1
& 2

" & / &
2 
4 # +5
'
7" + &" &" "
+ 8
7" % & &" " +8
2 "
" 
' " % &
" 
3
JDIC (Mod1)
3 * +
." * +
3
" "
&" " " " +
&" " " " "
+
&" " % & " " "
+
" + " "
+ " "
"
' + + + " *
+ " 
' % & " +
" %
4
JDIC (Mod1)
5
/
" # " x3
" " x4 x5 x6
&
x7 x8
an edge connecting
nodes x1 and x5
;
a path from x0
' # x0 to x4
/ / )// /
"" =
> / ? / // 
7 " " "
 x1 x2
7 " #
"
" "
x3
." " " x4 x5 x6
" "
* 3*</* /*)/*9
" ") x7 x8
* 3*,/* /*</* /*6
" ",
<
5
JDIC (Mod1)
x0
." <
" "
&" " " "
x0
" "

/
" " " " x1 x2
# 
' " "
&" " x3
" x4 x5 x6
* ,3*,/*0/*6/*9/
*:
x7 x8
6
JDIC (Mod1)
Player 1
' " "
H T

@ " "
/" Player 2 Player 2
" & "
" H T H T
+ "
Player 1
' " "
H T
#
+ &" " Player 2 Player 2
" "
H T H T
1, 1 1, 1 1, 1 1, 1
7
JDIC (Mod1)
'

"
+ &" " " "

" 2
2
' 4 " 5
@ "4 " 5
' @ "
2 , 1 0 , 0
"
1 , 2 1 , 2
8
JDIC (Mod1)
/

' 4 5/
" / " "
/&" " "
9
JDIC (Mod1)
# + "
2
1
.
2
1 1/1 .
1 1/. .
. 1/1 .
. 1/. .
2 11/1./.1 ../
+ 
# + "
."
!
11 1. .1 ..
1 1 , 1 1 , 1 1 , 1 1 , 1
. 1 , 1 1 , 1 1 , 1 1 , 1
<
10
JDIC (Mod1)
! " #
." ! " #
" ! "
# 
@ ! " #
1 & " ! " #
" "
11
JDIC (Mod1)
! " #
Challenger
.& ! " #
4 /' 5
In Out
4 /@ " 5
Incumbent
" ! " 1, 2
A F
# % 8
! " 2, 1 0, 0
' @ "
2 , 1 0 , 0
"
1 , 2 1 , 2
( + ! " #
! " #
! " #
! " #
"
12
JDIC (Mod1)
' Player 1
" H T
& "
Player 2 Player 2
'
H T H T
&3
+ "
1, 1 1, 1 1, 1 1, 1
"
"
a subgame
3 *
Player 2
E F
Player 1
Player 1
C D
G H 3, 1
Player 2
E F 2, 0
1, 2 0, 0
Player 1
G H 3, 1
Player 1
G H
1, 2 0, 0
1, 2 0, 0
6
13
JDIC (Mod1)
! " #
'! " #
" " ! "
# ! " #
+ " 
! " # ! "
# 
.& ! " #
4 /' 5 
4 /@ " 5
! " # "

Challenger
Incumbent
In Out A F
Incumbent
A F 1, 2 2, 1 0, 0
14
JDIC (Mod1)
@ ! " # 3
%&
& ""
." + %& " "
Challenger
In Out
Incumbent
A F 1, 2
The first number is the
payoff of the challenger.
2, 1 0, 0 The second number is the
payoff of the incumbent.
;
@ ! " # 3
%&
Player 1
C D
Player 2
E F 2, 0
Player 1
G H 3, 1
1, 2 0, 0
! " # 4 /5
/
)<
15
JDIC (Mod1)
* ! "
#
+
"
! " # "
%& 
$ %& 3
Player 1
C D
Player 2 Player 2
E F G H
2, 1 3, 0 0, 2 1, 3
! " # 4 / 15
A
/ 1

16
JDIC (Mod1)
! " # 3
Player 1
C E
D
0, 1 1, 0 1, 1 2, 1 2, 2 1, 3
! " # 4 /@1B5
@ / 1
/ B 
))
! " #
Player 1
C E
D
0, 1 1, 0 1, 1 2, 1 2, 2 1, 3
! " # 4 /@1B5
A
@ / 1
/ B 
),
17
JDIC (Mod1)
! " #
Player 1
C E
D
0, 1 1, 0 1, 1 2, 1 2, 2 1, 3
! " # 4 /@ B5
A
@ /
/ B 
)0
'" & 3
 ." # q1
q 2/ + 
." " &3
@ " # q1 ≥<
@ + q1 " " # q2 ≥<
." % P(Q)=a –Q &" a
Q=q1+q2
." i # qi Ci(qi)=cqi
3
u1(q1, q2)=q1(a–(q1+q2)–c)
u2(q1, q2)=q2(a–(q1+q2)–c)
)6
18
JDIC (Mod1)
@ " ! " #
%&
7 + ’ q1 ≥<
’ q1  ." /& +
" 
." & + ’  ." / + "
)9
+ ’ q1 ≥< ’
q1
* u2(q1, q2)=q2(a–(q1+q2)–c)
> 0 ≤ q2 ≤ +
@ 3a – 2q2 – q1 – c = 0
@ ’ ,
R2(q1) = (a – q1 – c)/2 q1 ≤ a– c
=0 q1 > a– c
):
19
JDIC (Mod1)
+ ’ ! +
’  ." / % & ’
q 1 1 / ’
* u1(q1, R2(q1))=q1(a–(q1+R2(q1))–c)
> 0 ≤ q1 ≤ +
." /
* u1(q1, R2(q1))=q1(a–q1–c)/2
> 0 ≤ q1 ≤ +
);
,<
20
JDIC (Mod1)
@
q1=(a – c)/2
q1(a–(q1+ q2)–c)=(a–c)2/8
@
q2=(a – c)/4
q2(a–(q1+ q2)–c)=(a–c)2/16
@
q1=(a – c)/3
q1(a–(q1+ q2)–c)=(a–c)2/9
@
q2=(a – c)/3
q2(a–(q1+ q2)–c)=(a–c)2/9
21
JDIC (Mod1)
" / / "
 ." + " &
" # qm
* qm (a–qm–c)
> 0 ≤ qm ≤ +
@ 3a – 2qm – c = 0
qm = (a – c)/2
qm=(a – c)/2
qm(a–qm–c)=(a–c)2/4
,)
# + $
4 5
.& 3 
" " "  ."
p1 p2/ + 
." " &
@ " p1 ≥<
@ + p1 " " p2 ≥<
." # " 3q1(p1,
p2) = a – p1 + bp2
." # " 3q2(p1,
p2) = a – p2 + bp1
." i # qi Ci(qi)=cqi
,,
22
JDIC (Mod1)
# + $
4 5
+ ’ p1 ≥<
’ p1 
* u2(p1, p2)=(a – p2 + bp1 )(p2 – c)
> 0 ≤ p2 ≤ +
@ 3a + c – 2p2 + bp1 = 0
p2 = (a + c + bp1)/2
@ ’ ,
R2(p1) = (a + c + bp1)/2
,0
# + $
4 5
+ ’ ! +
’ @ % & ’ p 1
1 / ’
×R2(p1) )(p1 – c)
* u1(p1, R2(p1))=(a – p1 + b×
> 0 ≤ p1 ≤ +
." /
×(a + c + bp1)/2 )(p1 – c)
* u1(p1, R2(p1))=(a – p1 + b×
> 0 ≤ p1 ≤ +
,6
23
JDIC (Mod1)
# + $
4 5
((a+c+(ab+bc–b2c)/2)/(2–b2), R2(p1) ),
&" R2(p1) = (a + c + bp1)/2
@ "
(a+c+(ab+bc–b2c)/2)/(2–b2)/
" R2(p1) "
p1
,9
24
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