This file concerns problem 4 of Barry's assignment 4 Note that we use the variables p and q rather than x and y The pay-off of player 1 is, 4 p q - 2 p - q + 3 Let's look at the Best response Our function of , p, q, is , 4 p q - 2 p - q + 3 We have to find, for every, q, between 0 and 1 the value(s) of, p, that will make it largest The coefficient of p is the following expression linear function of q, 4 q - 2 The expression, 4 q - 2, has a zero when , q = 1/2 when q is striclty less than, 1/2, this expression is negative, hence the best response is p=0 when q equals, 1/2, this expression is zero, hence every possible p is a best response when q is strictly larger than , 1/2, this is positive, hence the best response is p=1 The pay-off of player 2 is, -4 p q + 2 p + q - 3 Let's look at the Best response Our function of , q, p, is , -4 p q + 2 p + q - 3 We have to find, for every, p, between 0 and 1 the value(s) of, q, that will make it largest The coefficient of p is the following expression linear function of q, -4 p + 1 The expression, -4 p + 1, has a zero when , p = 1/4 when q is striclty less than, 1/4, this expression is positive, hence the best response is p=1 when q equals, 1/4, this expression is zero, hence every possible p is a best response when q is strictly larger than , 1/4, this expression is negative, hence the best response is p=0 Hence the Nash equilibrium is, [1/2, 1/2]