Answer the following statements true (T) or false (F)

1. In final offer arbitration, the arbitrator is not constrained in deciding the settlement terms and can create any terms he or she deems fair.
2. Final offer arbitration is generally believed to encourage the parties to negotiate more than conventional arbitration because it is riskier for negotiators to present extreme final offers.
3. Research clearly shows that final offer arbitration is more effective in getting the parties to agree on contract terms than conventional arbitration.
4. Negotiators sometimes begin to rely too heavily on arbitration as a means of settling their contract disputes, rather than working hard to come to their own agreement. This is known as the chilling effect.


1. FALSE
2. TRUE
3. FALSE
4. FALSE

Business

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