You and your roommate are in a tough position. Both of you value a clean apartment at 100, and a dirty apartment at 30. The total cost of cleaning the apartment is 80. This means that, if you both clean the apartment, you both get a payoff of 60. If you clean the apartment and your roommate doesn’t, you get 20 and your roommate gets 100. If your roommate cleans the apartment and you don’t, you get 100 and your roommate gets 20. If neither of you clean the apartment, you both get a payoff of 30.
1. Layout this situation as a simultaneous move game
2. What is the equilibrium? (Hint: Assume that if you both clean, you split the cost of cleaning.)