Question: Consider the game modeled in Example 23.6. Now, suppose that the cost of investment is $280M, instead of the $200M given in the original example.

Consider the game modeled in Example 23.6. Now, suppose that the cost of investment is $280M, instead of the $200M given in the original example. In this case, all the payoffs after investment should be reduced by $80M as compared to Exhibit 23-17. In this new game, solve for all the SPNE of the game and compare the payoffs among these SPNE.

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