Action Go Long Stay Out Sell Short State of Nature Bull Market Flat Market Bear Market 10 -1 -10 0 O O -12 -2 8

(a) Is there a (weakly or strongly) dominated choice or action? If so, which is it? If not, why not? Clearly explain your answer.

(b) Is there a (weakly or strongly) dominant choice or action? If so, which is it? If not, why not? Clearly explain your answer.

Action Go LongStay Out Sell Short State of Nature Bull Market Flat Market Bear Market 10 -1 -100 O O-12 -2 8