The Nash solution also applies to payoff functions with a continuum of strategies. For example,…

The Nash solution also applies to payoff functions with a continuum of strategies. For example, suppose that two investors are bargaining over a piece of real estate and they have payoff functions u(x , y) = x + y, while v(x , y) = x + √y, with x , y ≥ 0, and x + y ≤ 1. Both investors want to maximize their own payoffs. The bargaining solution with safety point u∗ = 0, v ∗ = 0 (because both players get zero if negotiations break down) is given by the solution of the problem