Question: Please provide help for the following question John can cause an accident, which entails a monetary loss of $1000 to Jane. The likelihood of the

 Please provide help for the following question John can cause an

Please provide help for the following question

accident, which entails a monetary loss of $1000 to Jane. The likelihood

John can cause an accident, which entails a monetary loss of $1000 to Jane. The likelihood of the accident depends on the precaution decisions by both individuals. Specically, each individual can choose either \"low\" or \"high\" precaution, with the low precaution requiring no cost and the high precaution requiring the effort cost of $200 to the individual who chooses the high precaution. The following table describes the probability of an accident for each combination of the precaution choices by the two individuals. Jane chooses low precaution Jand chooses high precaution John chooses low precaution 0.8 0.5 John chooses high precaution 0.7 0.1 Question: For each of the following tort rules, (1) construct a table describing the individuals' payoffs under different precaution pairs and (ii) find the equilibrium precaution choices by the individuals. a No liabili

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