1. Beauty Contest Best Responses: Consider the p-beauty contest presented in Section 4.3.5. a….

1. Beauty Contest Best Responses: Consider the p-beauty contest presented in Section 4.3.5.

a. Show that if player i believes that everyone else is choosing 20 then 19 is not the only best response for any number of players n.

b. Show that the set of best-response strategies to everyone else choosing the number 20 depends on the number of players n.

2. Beauty Contest Rationalizability: Consider the p-beauty contest presented in Section 4.3.5. Show that if the number of players n > 2 then the choices {0, 1} for each player are both rationalizable, while if n = 2 then only the choice of {0} by each player is rationalizable.