Consider a three-type economy like the one described in, Econometrics

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Consider a three-type economy like the one described in

Consider a three-type economy like the one described in Section 20.1.3. Assume that θ_H is 10, θ_M is 4 and θ_L is 2.

a) Assume that there are 5 type H people, 15 type M people, and 10 type L people. Find a Nash equilibrium.

b) Assume that there are no type H people, 15 type M people, and 15 type L people. Find a Nash equilibrium.

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Econometrics: Consider a three-type economy like the one described in

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