6Substitution effec 7 Sunk cos 8 Stackelberg model 9Shirking model 10 Prospective sunk cos 得分阅卷教师 二、简答题：（共10分） 1.You are in the market for a new house and have decided to bid for a house at auction.You believe that the value ofthe house is between $125,000 and $150,000 but you are uncertain as to where in the range it might be.You do know,however, that the seller has reserved the right to withdraw the house from the market if the winning bid is not satisfactory. a.Should you bid in this auction?Why or why not? contracto Yon plan to mprove the bowean How does this situat affect your nswer to(a)? Does it depend on the extent to which your skills are uniquely suitable to improving this particular house? 得分阅卷教师 三、Calculation:(每题20分，共40分) 1.We can think of the U.S.and Japanese trade policies as a prisoners'dilemma The two countries are conside ering policie es to open or close their import markets 6 Substitution effect 7 Sunk cost 8 Stackelberg model 9 Shirking model 10 Prospective sunk cost 二、简答题：（共 10 分） 1. You are in the market for a new house and have decided to bid for a house at auction. You believe that the value of the house is between $125,000 and $150,000, but you are uncertain as to where in the range it might be. You do know, however, that the seller has reserved the right to withdraw the house from the market if the winning bid is not satisfactory. a. Should you bid in this auction? Why or why not? b. Suppose you are a building contractor. You plan to improve the house and then to resell it at a profit. How does this situation affect your answer to (a)? Does it depend on the extent to which your skills are uniquely suitable to improving this particular house? 三、Calculation：（每题 20 分，共 40 分） 1. We can think of the U.S. and Japanese trade policies as a prisoners’ dilemma. The two countries are considering policies to open or close their import markets. 得分 阅卷教师 得分 阅卷教师