Three players act in order. Player 1 first announces an integer between 1 and 100. Player 2 sees Player 1โs choice and then announces his own integer (it must be different, but still between 1 and 100). Player 3 sees both earlier choices and then announces his integer, again different and between 1 and 100.
When all three numbers have been fixed, a random integer ๐
is drawn uniformly from 1 to 100. The player whose number is closest to ๐
wins; if two players are equally close, the tie is broken by a fair coin-toss.
Assuming Players 2 and 3 play perfectly rationally (each always picking the move that maximises their eventual probability of winning), what number should Player 1 choose to maximise his own chance of winning?
Reported at 2 firmsJane Street ยท IMC TradingIโve seen this in an interviewIโve seen this
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