F.
Draw the game tree for the following conditions:
i. Economists decide the best approach is to only fish 2,000 lbs. of grouper every
year. They split this amount evenly amongst the two fisheries. To follow the
rules would reward the fisheries with $8/lb. If one fishery catches more than the
allowed amount, they will be able to catch 6,000 lbs. If they both catch 6,000
lbs., they will only be able to sell their catches for a dollar per pound. They will
be fined $100,000 on the high end, $80,000 on the low end, have a probability
of being detected at 20%, and have a probability of having a fine imposed at
60% if they cheat at all.
TOH