A game approach to the Crimean crisis. Part II: Game Solution
Game structure By design, the game is implemented in two stages. At stage 1, Ukraine and Russia choose levels of financial transfers and military involvement not knowing each other’s choice. At stage 2, Crimean voters observe the levels chosen and opt for the preferred country. Does it sound familiar? Hopefully so, because the game could be regarded as a modified all-pay auction in which the good to be auctioned is Crimea and Sevastopol, the auctioneer are Crimean voters, and the bidders...