Question: consider the stage game below and suppose it is repeated...
Question details
Consider the stage game below, and suppose it is repeated infinitely many times.
To sustain a SPNE in which players play (C,E) in every period by means of a trigger strategy, the discount rate must be larger than or equal to
a. 
2/3. 

b. 
(C,E) cannot be part of a SPNE. 

c. 
1/7. 

d. 
1/3. 

e. 
3/7. 