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3. ( 13 points) Consider the entry game with incomplete information studied in class. An incumbent politician's cost of campaigning can be high or low

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3. ( 13 points) Consider the entry game with incomplete information studied in class. An incumbent politician's cost of campaigning can be high or low and the entrant does not know this cost (but the incumbent does). In class, we found two pure-strategy Bayesian Nash Equilibria in this game. Assume that the probability that the cost of campaigning is high is a parameter p, 0

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