Question: Be sure to identity the path probabilities at each OT the eight terminal nodes. Trader Buys (c) We can make use of the event tree

Be sure to identity the path probabilities at each OT the eight terminal nodes. Trader Buys (c) We can make use of the event tree above to deduce what kind of information the market maker will extract from any trade that she sees. Use the path probabilities from your event tree in part (b) to complete the following \"flipped\" event tree. Use it to determine the posterior beliefs that the market maker will adopt after a trader chooses to buy from her (i.e. find P[v=1 | Trader Buys]) and after a trader chooses to sell to her (i.e. find P[v=1 | Trader Sells])

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