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3. The city hall has to decide whether to construct a high school or a nursery in a particular city zone. It does not have

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3. The city hall has to decide whether to construct a high school or a nursery in a particular city zone. It does not have budget to carry out both projects (i.e. both the high school and the nursery). The person in charge of managing these subjects has spoken with two indispensable companies that can make any of these two projects: one construction company and one carpentry company. Due to the composition of population, the building of the high school would be greater than the one of nursery (it requires more construction), but that one will need a park of wood games (it requires more carpentry). In addition, each one of the companies is interested more in participating in a certain project that in the other (the one of construction in the high school, and the one of carpentry in the nursery), but both prefer signing the same contract to signing different contracts, since in this case the city hall would not carry out any project. The city hall asks them to present a project. As none of the companies has sufficient personnel available to process both projects, they must choose one of the projects another, without knowing which project will be chosen by the other company. (a) Dene a game in normal form whose payments reect the expected profits of each company in each possible situation. (b) Compute the Nash equilibria

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