9. Every year management and labour negotiate a new employment contract by sending their proposals to an arbitrator who chooses the best proposal (effectively giving one side or the other $1 million). Each side can choose to hire, or not hire, an expensive labour lawyer ( at a cost of $200,000) who is effective at preparing the proposal in the best light. If neither hires lawyers, each side can expect to win about half the time. If only one side hires a lawyer, it can expect to wimp three-quarters of the time.
A. Diagram the simultaneous move game.
B. What is the Nash Equilibrium of the game?
C. Would the sides want to ban lawyers
From the scenario, examine the key factors affecting the demand for and the supply of a good or service. Distinguish between changes in demand and changes in the quantity demand. Indicate the factors that could lead to changes in demand / supply and changes in the quantity demanded / supplied. Determine the sets of factors that could lead to an increase in supply or demand on the one hand and a decrease in supply or demand on the other.
Examine the key factors that influence the supply and demand of the selected good or service. Propose two (2) methods in which organizations that provide the selected good or service may utilize this information. Provide a rationale for your response.