Past exam of the mathematics course of the University of Cambridge 2014 iii Paper 37 4 a Solution Created 2026-10-03 Updated 2026-10-06
Use net monetary gain as payoff and order each player's pure strategies as . The payoff matrix for the first player isThe second player's matrix is . Equal choices return both stakes, so the diagonal is zero; when the first player wins, their net gain is the other's stake, and when they lose it is minus their own stake. This is a matrix game, hence a zero-sum game and a normal-form game.