Question
1) Assume the simultaneous move investment game below is played for two rounds. In each round, each player will choose invest or do not invest
1) Assume the simultaneous move investment game below is played for two rounds. In each round, each player will choose "invest" or "do not invest" and then receive the payoffs listed below. Each player has complete information about payoffs and strategies. They both understand the game is only played for two rounds and they will be able to see each others' choices after each round.
1) What will be the Nash equilibrium outcome of the game in the SECOND round
a) Both players invest.
b) Only Food Lion invests.
c) Neither player invests.
d) Only Cheerwine invests.
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