1. Consider the following three-person cooperative game C = (N, v(.)) where the characteristic function v(.) is defined by v({i}) = 2, i = 1,2,3; v ({1, 2}) = 50 v({1, 3)} = 80 v ({2, 3}) = 90 v(N) = 100. (a) Is the above game essential? Explain your answer. (b) Obtain the characteristic function v'(.) of the game in 0 - 1 normal form which is strategically equivalent to C. What is the value of the payoff for each two-person coalition in this equivalent game? (c) Determine the core of the game (N, v'(.)). (d) Determine the Shapley value for Player 2 in the game (N, v'(.)). (4+6+4+ 6=20 marks)