Principles of Microeconomics

We want to set up a matrix where we want to have equilibrium occur where both parties fail to cooperate even though both parties are better off if they cooperate. This will involve filling in numbers in the following matrix. The numbers represent returns with the higher number representing a higher return.

		Person B
Person A	Cooperate	Not Cooperate
Cooperate	A1: $100 B1: $100	A2: $-50 B2: $ 150
Not Cooperate	A3: $ 150 B3: $-50	A4: $ 0 B4: $ 0

1. If people are better off cooperating then what must be true about A1 compared to A4?
   1. A has a higher return for cooperating compared to not cooperating.
2. If people are better off cooperating then what must be true about B1 compared to B4?
   1. B has a higher return for cooperating compared to not cooperating.
3. If both cooperating is not an equilibrium then what must be true about A3 compared to A1?
   1. Not cooperating is a higher return for A compared to cooperating.
4. If both cooperating is not an equilibrium then what must be true about B2 compared to B1?
   1. Not cooperating is a higher return for B compared to cooperating.
5. If B cooperating and A not is not an equilibrium then what must be true about B4 compared to B3?
   1. The return would be lower for B compared to not cooperating.
6. If A cooperating and B not is not an equilibrium then what must be true about A4 compared to A2?
   1. The return would be lower for A compared to not cooperating.

Fill in all the numbersso that you get the desired result.