(a) Show that (U 1 , L 1 ) is the unique perfect equilibrium of the game illustrated in figure…
(a) Show that (U1, L1) is the unique perfect equilibrium of the game illustrated in figure 8.19a.
(b) Use figure 8.19b to argue that adding dominated strategies may enlarge the set of perfect equilibria. (This exercise is from van Damme 1987)

