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After graduation, you enter salary negotiations for your first job. Suppose the potential employer ( employer A ) has two choices: to offer you a

After graduation, you enter salary negotiations for your first job. Suppose the potential employer (employer A) has two choices: to offer you a high salary or to offer you a low salary. You may then accept or reject whatever offer is made. The payoffs, as well as the decision tree, are depicted in the following figure.
Employer
High Offer
Low Offer
Employee Accept
Employee: 90
Employer A: 75
Employee Reject
Employee: 0
Employer A: 0
Employee Accept
Employee: 75
Employer A: 90
Employee Reject
Employee: 0
Employer A: 0

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