Market Entry and Game Theory: Incumbent vs. New Entrant
Market Entry and Strategic Interaction: A Game Theory Perspective
**a) Payoffs with c=0**
There are three possible outcomes of the game, depending on the choices of the new entrant (entry vs. no entry) and of the incumbent firm (aggressive vs. passive behavior). In case of no entry, the incumbent will set the monopolist level of output. Let i be the incumbent label and e the new firm label. The monopolist quantity is qmi = 1/2 and the payoffs are Πmi = 1/4 and Πme = 0.
If the new firm enters the
Read MoreNetwork Simulation and Data Security: Practical Implementations
1. Implementing a Three-Node Point-to-Point Network
This section demonstrates a three-node point-to-point network with duplex links. We will set the queue size, vary the bandwidth, and determine the number of packets dropped.
TCL Script
set ns [new Simulator]
set nf [open lab1.nam w]
$ns namtrace-all $nf
set tf [open lab1.tr w]
$ns trace-all $tf
proc finish { } {
global ns nf tf
$ns flush-trace
close $nf
close $tf
exec nam lab1.nam &
exit 0
}
set n0 [$ns node]
set n1 [$ns node]
set n2 [$ns node] Read More
Strategic Analysis of Coloring, Network Formation, and Information Gathering Games
Coloring Game
Best Response in Polynomial Time
Definition of Best Response:
BR(s−i) = {ai ∈ Ai | ui(s−i , ai) = max (a’i∈Ai) (ui(s−i , a’i )} where:
- Ai is the set of actions for player i.
- ui(s−i , ai) is the utility for player i if all players except i play s−i and i plays ai.
In this game, the utility of a player p is equal to the number of neighbors of p that have the same color as p. A strategy profile s−p fixes the strategies of all other players. This means that their colors are fixed.
Read MoreEssential Bash Commands and C++ Fundamentals
Essential Bash Commands
- Use which -a to find the path to the Bash shell.
- Use echo -n to avoid trailing newlines.
- ls -l lists the content in long format.
- ls -a lists all content, including hidden files.
- ls -la combines both.
- pwd prints the current directory.
- Use man x to view the manual of command x.
- Use ~ to navigate to the home directory.
- mkdir creates directories.
- Multiple directories can be created at once by typing them in the same line.
- rmdir deletes an empty directory.
- rm -rf deletes a non-empty directory.
Networking Fundamentals: TCP/IP, Topologies, and Protocols
Understanding Connectionless Packet-Switched Networks
A connectionless packet-switched network transmits data as independent packets without establishing a dedicated connection. Each packet may take a different path, optimizing network resources and routing flexibility.
Operation:
- Packet Creation: Data is divided into packets, each with a header (addressing information) and payload (data).
- Routing: Routers determine paths for each packet based on destination addresses and network conditions.
- Transmission:
Internet Routing and Data Link Layer Protocols: Core Concepts
Goal of Routing
Each router finds a path or route to every destination and produces a forwarding table. Outcome: Packets follow computed paths if each router forwards according to its table.
Network State
Represents the set of functioning links and routers at a given time. Routing adapts to dynamic changes (e.g., link or router failures) by recomputing routes based on the current network state.
Local vs. Global Views
- Global View: The network state represents an overall view used to compute paths.
- Local