(1) House of Cards . Frank Underwood and Raymond Tusk need to negotiate the terms of a potential alliance. You are told the following: (a) Both of them need to decide whether or not to compromise. To form the alliance, at least one of them has to compromise. (b) Both parties prefer forming the alliance under any circumstance to not forming the alliance. (c) However, neither party likes to compromise (so, forming the alliance with- out compromising is better than compromising)- (d) Having chosen to compromise, cach of them will be better off if the other party also compromises. . Formulate this situation as a strategic game and find all the Nash equilibria of the game. - This situation can be represented by the game: Compromise Don't Compromise 2,2 1,3 Don't 3,1 0,0 - In general, any payoff numbers such that e > a > c > g andd > by f > k work. Compromise Don't Compromise n, b c, d Don't e, f 9, h - There are two pure strategy Nash equilibria: (C, D) and (D, C)