Country ] not attack attack not 201, 101 1 1 , 419 Country ? attacks attacks 15, – 101 101 – 5 4 . Find the Nash Equilibrium INE 1 . 3 points b . Is

a. Find the Nash Equilibrium (NE). 3 points

1. Is there a better result available to the players than the Nash Equilibrium? 3 points

c. Now suppose that the countries can negotiate before they decide their strategy. Country 1 promises that it will not attack if Country 2 stays peaceful. Does Country 2 believe the promise? Explain your answer in one or two sentences. 4 points

(Bonus) e. Now suppose that these two countries repeat this game every day forever. How does this affect the Nash Equilibrium you find in Question 2.a? 3 points

Country ]not attackattacknot201, 1011 1 , 419Country ?attacksattacks15, – 101101 – 54 . Find the Nash Equilibrium INE 1 . 3 pointsb . Is there a better result available to the players than the Nash Equilibrium ? } points*C . How suppose that the countries can negotiate before they decide their strategy . Country !promises that it will not attack if Country 2 stays peaceful . Does Country I believe the promise "Explain Your answer in one of two sentences . & points*|Bonus ! { . Now suppose that these two countries repeat this game every day forever . How doesthis affect the Nash Equilibrium you find in Question 2. 17 3 points*

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