1. P2 P1 Confess No (-1,-1) Confess (-5,0)No (0,-5)(-3,-3) TABLE 1 Battle of Sexes and Prisoner’s Dilemma Prisoner’s Dilemma Husband Wife Basket- ball Opera (3,1) Basketball (0,0)Opera (0,0)(1,3) Battle of Sexes 9

2. TABLE 2 Matching Pennies and a Basic Dynamic Game Dynamic Game P2 P1 H T (-1,1) H (1,-1)T (-1,1) Matching Pennies P2 P1 (2,1) RL lr (0,0) (1,2) 10

3. Payoffs S L In Out (0,0,0) In (-5,1,3) Out (-5,1,3)(-3,3,5) CB: InCB: Out S L In Out (0,0,0) In (0,0,0) Out (0,0,0)(-3,3,4) Outcomes S L In Out OUT In Out IN CB: InCB: Out S L In Out OUT In OUT Out OUTIN IN (price war) TABLE 3 Access Game 11

4. Players Payoffs U CB =F CB (efficiency, safety, other public issues) U P =F P (own efficiency and profitability) U E =F E (own consumption and leisure) Description Strategies Central Bank (CB) Participants (P) End-users (E) CB: set the fees to the participants P: set the fees to end-users E: set the number of transactions to the system TABLE 4 Vertical Pricing game: Setup 12

5. TABLE 5 Vertical Pricing game: Nash Equilibrium 13 FPFP FEFE F P (F E ) NE of the game F E (F P ) A