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QUESTION 2 Consider the game below. Nature selects the type of player 1, E or F, with probabilities p and 1-p respectively. Then player 1 chooses to play either N' or G' depending on type Lc {F, E). Player 2 then chooses either A or R. The resulting payoffs are given. Nature (P) (1 p) Player1 Player1 G Player2 Playerz R Required: a) Show that ((N . G=), R) is a Bayesian Nash Equilibrium. (10 marks) b) Show that the above strategy also forms a Perfect Bayesian Equilibrium. Clearly mention the beliefs and show consistency of beliefs and sequential rationality. (15 marks)