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In the Beauty Contest Where Players Predict the Outcome of Players

Question 61

Multiple Choice

In the beauty contest where players predict the outcome of players choosing a number between 0 and 100


A) the Nash equilibrium is 0.
B) your prediction should be based on what you think the winning number will be.
C) the Nash equilibrium is 33.
D) there is no Nash equilibrium because people are not rational.

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