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Use the Following Setup

Question 77

Multiple Choice

use the following setup
Consider a sequential game between a shopkeeper and a haggling customer.The party who moves first chooses either a high price ($50) or low price ($20) and the second mover either agrees to the price or walks away from the deal and neither party gets anything.Ignore costs and assume the customer values the item at $60.
-​Suppose the shopkeeper is known to usher low bidders out of the store even if it means giving up the sale.If the customer moves first,he would


A) ​Offer the high price
B) Offer the low price
C) Get ushered out of the store
D) ​All of the above

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