Question

Suppose there are 40 ppl playing minority game. Each person puts $100 to play total of $4,000. Now as a player, you want to create a team so that your team as a whole would win some money. Decide how many team members you need exactly to maximize the profits for the team and how exactly would you convince them to join your team.

Answer 1

Answer : Let there is a rule that for a team of 20 members the winning money prize is $800, for a team of 30 members the winning money prize is $1500 and for a team of 40 members the winning prize is $1200.

Now, to maximize the profit I have to create a team of 30 people. Because for a team of 30 people the winning prize amount is maximum. So, to make a team of 30 people I will tell to all players about the winning prize amount. I will also tell them that after winning this prize amount we will equally distribute this amount between all of us who are in the team. If we make a team of 30 members then we all team members can get the maximum amount of $50 after equally distribution of total winning prize amount. Thus, I will convince game players to join my team.