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PLZZ ANSWER FULL QUESTION AND DRAW DIAGRAM CLEARLY 4. [25 pts] Player 1 and Player 2 are involved in a dispute. Player 2 is either

PLZZ ANSWER FULL QUESTION AND DRAW DIAGRAM CLEARLY

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4. [25 pts] Player 1 and Player 2 are involved in a dispute. Player 2 is either Weak or Strong. Player 2's strength is priyate information. 2 knows his strength; 1 knows that 2 is Strong with probability p=CI.S5 and that he is Weak with probability [1 pi=EI.E-5. Both players will decide to either Fight or Yield simultaneously. The payoffs in this game are as follows: - If they both choose Yield each eams 15 regardless of 2's type. - If one chooses Fight and the other chooses Yield, the player who chooses Fight eams 40 and the other player earns 15 regardless of 2's type. - If they both choose Fight: -|f Player 2 is Strong then Player 1 eams a payoff of 4H and Player 2earns a payoff of 413. - If Player 2 is Weak then Player 1 earns a payoff of no and Player 2 earns a payoff of 4111. [a] [5 ptsi Draw the game tree. [b] [5 pts] Draw the payoff matrix for the game. [d] [15 pts] Find all pure strategy Bayes Nash equilibria. Explain your work clearly. [with sentences]

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