What would be the level two play in the case


Problem

Consider an N person variant of the guessing game in discussed, but suppose that the winning guess is a number equal to 2/3 the overall average chosen. Again assume that level 0 players would pick randomly in the interval between 0 and 100.

1) What is the level 1 response (e.g., the best response to a random choice?)

2) Conceptually, what is a level 2 play? What would be the level 2 play in this case?

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Microeconomics: What would be the level two play in the case
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