The story is between USA & China. They are involved in trade war over the last couple of years. Consequently, once USA attempted to increase 25% tariff rate for China. China also responded immediately by increasing their tariff rate against USA. As a result, the trade activities have become vet difficult between them. Task: ⚫ Plot their Situation into a game matrix • Game 3 ⚫ Find out the preference list of both parties ⚫ Write down a paragraph describing the situation of both parties

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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The story is between USA & China. They are involved in trade war over the last couple of years. Consequently, once USA attempted to increase 25% tariff rate for China. China also responded immediately by increasing their tariff rate against USA. As a result, the trade activities have become vet difficult between them. Task: ⚫ Plot their Situation into a game matrix • Game 3 ⚫ Find out the preference list of both parties ⚫ Write down a paragraph describing the situation of both parties
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