Past exam of the mathematics course of the University of Cambridge 2006 iii Paper 38 5 Solution Created 2026-10-03 Updated 2026-10-14
A Nash equilibrium of a multi-person game is a collection of strategies such that each player's strategy is a best response to the others: no unilateral change raises that player's expected payoff. For mixed strategies, every pure action used with positive probability must attain the same maximal payoff. Take .
In this costly turnout game, compute the payoff difference between voting and abstaining, holding the others' strategies fixed. The opponent is pivotal exactly when one of votes. Without the proposition then passes, while with the tied ballot fails. The pivotal voting probability is , soIf mixes with , indifference is necessary. Therefore
For supporter , voting is pivotal when abstains and abstains, or when votes and votes. Thus its voting advantage, and likewise that of , isAt , this equals zero, while . Every player is indifferent between voting and abstaining at these opponent strategies; in particular, 's pure vote and both supporters' mixtures are best responses. Hence
It is not unique. At , both supporter advantages are , and again. This gives a second symmetric Nash equilibrium. To see these are the only equilibria with a common supporter probability, note that or makes , forcing ; neither endpoint then satisfies the supporters' best response condition. For , supporter indifference requiresIf also mixes, its two possible values force respectively, contradicting strict mixing. Finally gives , and gives . Thus
Allowing to have distinct probabilities gives two additional Nash equilibria. The three voting advantages areIf both supporters mix, subtracting their indifference equations gives . At a supporter has advantage , so cannot mix; hence and the two symmetric equilibria result. If always abstains and mixes, the latter's indifference gives , and 's indifference gives . Then , so abstention really is optimal. Interchanging gives the other equilibrium. If always votes and mixes, the corresponding equations give , , but , contradicting voting. The four configurations with both supporters pure also fail a best response condition. Consequently the full collection of turnout equilibria with two supporters and one opponent is
Suppose turnout costs , each supporter gains on passage, and the opponent loses . The symmetric-supporter Nash equilibria are and . Allowing different supporter probabilities adds and . These follow by comparing the pivotal voting probabilities with the turnout cost; no player benefits by changing their mixed strategy.
// Target: mathematical-optimization.bigb