Nation 2 | |||
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Refrain | Arm | ||
Nation 1 | Refrain | 3, 3 | 0, 2 | Arm | 2, 0 | 1, 1 |
Nation 2 | |||
---|---|---|---|
Refrain | Arm | ||
Nation 1 | Refrain | 2, 2 | 0, 3 | Arm | 3, 0 | 1, 1 |
Table C "displays the incentives of politicians to use patronage, that is, promise their workers jobs, during a campaign." "Each candidate can choose to use patronage in the campaign or not. If neither candidate uses patronage, then Politician 1's chance of winning is p and Politician 2's chance is 1-p. Patronage provides an advantage to the candidate using it. Politician 1's chance of winning rises by v1 if he uses patronage, and Politician 2's chance rises by v2 if she uses it in her campaign. Each candidate's advantage from patronage reduces its opponent's chance of winning." (Payoffs: Politician 1, Politician 2)
Politician 2 | |||
---|---|---|---|
Do Not Use Patronage | Use Patronage | ||
Politician 1 | Do Not Use Patronage | p, 1-p | p-v2, 1-p+v2 | Use Patronage | p+v1, 1-p-v1 | p+v1-v2, 1-p-v1+v2 |
What type of game is this? Find the Nash equilibria. Explain what the result means in layperson's terms.
"If patronage helps a candidate's chances of winning, why would parties support reforms that would deny them the exercise of patronage? Supporting reform can provide an electoral benefit." Table D "has two actors, a majority party and a minority party. Without the support of the former, civil service reform cannot pass. With that support, it passes. Each party can now support or oppose reform. If the majority party supports reform, reform laws pass, and neither party can use patronage in its campaigns. Each side's chance of winning depends on its underlying chance of winning, p for the majority party and 1-p for the minority party. If the majority party opposes reforms, both parties can and will use patronage in their campaigns, even if they support reform. (Why?) However, there is a benefit to supporting reform when the other party does not, given by e. This benefit arises from advancing reform even if the party goes on to use patronage in its campaign. If both parties support reform, neither gains an electoral advantage from doing so."
Minority Party | |||
---|---|---|---|
Support Reform | Oppose Reform | ||
Majority party | Support Reform | p, 1-p | p+e, 1-p-e | Oppose Reform | p+v1-v2-e, 1-p-v1+v2+e | p+v1-v2, 1-p-v1+v2 |
What type of game is this? Find the Nash equilibria. (Examine two cases: v1-v2 < e, and v1-v2 > e.) Explain what the results mean in layperson's terms (including what v1-v2 means).
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