You a real-estate developer own a piece of land in nassau, Econometrics

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You a real-estate developer own a piece of land in nassau

You, a real-estate developer, own a piece of land in Nassau, Bahamas, next to an equalsize piece of land owned by a competitor. Both of you have the choice of building a casino or a hotel. Your payoffs are as follows

How much is it worth to you to get your casino building permit first?

a. $2 million

b. $3 million

c. $15 million

d. $17 million

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Econometrics: You a real-estate developer own a piece of land in nassau

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Econometrics: You a real-estate developer own a piece of land in nassau

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