1.Explain why economists use game theory. 2. Two firms produce computer software. Firm A employs a software genius at the same salary that firm B employs a mediocre software engineer. Will the firm that employs the software genius earn higher profits than the other firm, ceteris paribus? 3. Explain why a perfectly competitive firm will shut down in the short run if the price is lower than average variable cost but will continue to produce if the price is below average total cost but above average variable cost