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Question 4. (15 points) A workplace has a boss and a worker. Assume that a worker can choose to work hard or not. The worker receives a wage of 11:. Working requires an effort that corresponds to a lowering the wage by e. The payoff to the boss is R if the worker works hard and r if he does not, where r 0 for the boss, so she would prefer not to do it. If the worker is caught not working, he is red and gets a wage of 0. a) What does the payoff matrix look like in this monitoring game? b) 'What can you say about the equilibrium of this game? c) If the boss was given a reward b if she nds the worker shirking, will this change the equilibrium actions in the game