Two players are involved in a game. Each player begins with $10 and must simultaneously decide how much of the $10 to allocate between two accounts: a ‘private’ account, and a ‘public’ account. Money...

Two players are involved in a game. Each player begins with $10 and must simultaneously decide how much of the $10 to allocate between two accounts: a ‘private’ account, and a ‘public’ account. Money allocated to the private account by a player is kept by that player. Money allocated to the public account is multiplied by 1.5 and then distributed back equally to each of the two players. Each player has three possible choices: (i) allocate $0 to the public account, (ii) allocate $5 to the public account, and (iii) allocate $10 to the public account. a Draw a game table to represent this game. b Do players have a strict dominant strategy in this game? c What is the Nash equilibrium of the game? d Does the Nash equilibrium outcome maximise the total pay-off to players? How can you explain this result?