Problem 3 Advice 1: Advice 2: "Take the Zhuge Liang "Wait and offensive" react" Liu Beij Cao Cao, West East North South Cao Caoz Cao Cao3 Liu Beiz Liu Bei3 North South North South West East West East N Liu Bei and Cao Cao are about to face each other in battle. Zhuge Liang must offer Liu Bei an advice, knowing that Liu Bei will follow his advice blindly. The game tree above summarizes the problem faced by the players. Payoffs are listed in the following order (top to bottom): 1) Zhuge Liang, 2) Liu Bei, 3) Cao Cao. Strategies must be listed in the same order inside strategy combinations. Inside strategies, moves must be listed according to the numbers indexing the decision nodes. Part 1. For each of the following statements, say whether they are a threat, and if they are, whether they are non-credible. Explain. (5 marks each) a) Liu Bei states: "I will choose East on Liu Bei3" b) Cao Cao states: "If I know Liu Bei will pick East on Liu Beiz and West on Liu Beig, I will choose South on Cao Cao," Part 2. What will Zhuge's advice be? Properly state the SPE and its path. (10 marks) Part 3. Properly state a Nash Eq. that contains a non-credible threat. (10 marks)