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Slick Naban, the coach at Enormous State U earns $3 million per year. An equivalent new coach could be hired for $3.5 million if Slick

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Slick Naban, the coach at Enormous State U earns $3 million per year. An equivalent new coach could be hired for $3.5 million if Slick left. He is under contract for another year. Suppose he gets an offer for $5 million. a. Draw a tree. b. Is it efficient that he take the new offer? c. If he does, what are the expectation damages? (1. If ESU can sue for expectation damages, what is the equilibrium? e. ESU is considering a $700,000 marketing campaign, focusing on Slick. If he stays, the campaign will generate $1 million in ticket sales. If he leaves, it is worthless. ESU thinks that the probability of a new offer that he would surely take is 0.5. If ESU does do the campaign and Nick leaves and ESU sues for damages, how much should they receive. In other words, is this campaign an example of overreliance

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