Mixed equilibrium in a distance game on [0,1]
Question
Players 1 and 2 each secretly choose a real number in at the same time. Player 1 receives, and Player 2 pays, the absolute difference between the two numbers. This zero-sum game has an equilibrium in mixed strategies. Under optimal play, what is Player 1's expected payoff?
Short answer
. Player 2 can guarantee losing at most by always choosing . Player 1 can guarantee by choosing or with probability each, since against any the expected distance is . So the game's value is .
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- Expectation, Mean, and Variance
- Conditional Expectation and Variance Revisited
- Continuous Random Variables and Probability Density Functions
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