4. An Application: A Law Partnership Game PARTNERSHIPS Rachel and Linda are partners in a small law firm ("Croson and Babcock"). By working hard, each partner brings $80 of revenue into the firm but personally bears a $36 effort cost. It the partner shirks instead, she only brings $40 of revenue into the firm but bears no cost of effort. The partners' revenues are pooled and then split equally between the two. Linda Work Shirk Hard $40 $24 Shirk Rachel $40 $60 $60 $44 Work Hard $24 $44