Colombia and Venezuela (10 points) In 2017, Colombia and Venezuela faced off in the meeting of defense ministers of Unasur. The discussion revolves around whether each country will or will not disclose to the other members of Unasur the conditions of their respective military agreements with major world powers. Each country had the option to reveal its agreement, not reveal it, or disclose only some of its details. Let's denote these options as R, N, and P (for "partially" ), respectively. The utility each country receives from its choices depends on what the other does, as reflected in the following payoff matrix: Venezuela N R P N 4.4 9,0 6.0 Colombia R. 0.9 8,8 2,10 P 0,6 10,2 7,7 1. Use the Iterate Elimination of Dominated Strategies to either decrease the size of the matrix or find the Nash Equilibrium. Explain step-by-step the reduction. 2. Is there a unique Nash Equilibrium in this game? Explain. 3. Suppose the countries play a sequential game where Venezuela decides first. Write the extensive form of the game and explain the process of backward induction to reach the SPE. 4. Is there any difference between the SPE and the Nash Equilibrium? Why