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Plz answer me in detail! Thx a lotttt! Invest Don't Invest -1, -1 1.0 Don't 0,1 0,0 Table 1: Payoff matrix for Invest the Dollar.

Plz answer me in detail! Thx a lotttt!

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Invest Don't Invest -1, -1 1.0 Don't 0,1 0,0 Table 1: Payoff matrix for "Invest the Dollar". 3. Table 1 shows the payoff matrix for the game "Invest the Dollar": two firms can decide to invest in a market or not. A firm that doesn't invest gets a payoff of 0. If only one of the firms invests, this firm gets a payoff of 1. But if both firms invest, each of them has to pay a penalty of -1. Consider the infinitely repeated version of "Invest the Dollar" with payoff factor S > & each firm gets a normalized discounted payoff of at least 0.45. (b) Give a subgame perfect Nash equilibrium such that for each 8 > 0 each firm gets in expectation a normalized discounted payoff equal to 0. (c) Is there a strategy such that each player gets a normalized discounted payoff of at least 0.55? 3 + 1 + 1 =5 Points

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