Suppose you and your friend have decided to go into a very lucrative joint venture together, which would make $5,000 for both of you. Nevertheless your friend, who does not need the money as much as you, say he will not cooperate with you unless he gets at least 90% of the earnings. It will be in your advantage not to capitulate to your friend's demands as long as:
A. your friend does not know anything about your goals.
B. you cared only about the absolute distribution of the winnings.
C. you follow a self-interest goal.
D. you do not follow an egoistic goal.
Answer: D
You might also like to view...
OPEC was able to function as an extremely successful cartel in the last half of the 1970s because
A) it was an association of governments rather than of private individuals. B) it was able to separate OPEC oil from non-OPEC oil and to engage in price discrimination. C) the increasing scarcity of oil produced an upward-sloping marginal revenue curve. D) the widespread expectation of much higher future prices discouraged current production. E) wars in the Middle East raised the marginal cost of producing oil.
Which countries are among the highest-rated nations on the Gender Development Index?
a. Niger, Mali, Saudi Arabia, and Iran b. Canada, the U.S., Israel, China, and Kenya c. France, Japan, Brazil, and the U.S. d. Norway, Iceland, Sweden, Australia, and the U.S
There is a flexible exchange rate system and only two countries in the world, the United States and Mexico. If the inflation rate in the United States rises relative to the inflation rate in Mexico, it follows that
A) the dollar will appreciate and the peso will depreciate. B) both the dollar and the peso will appreciate, although the peso will appreciate before the dollar appreciates. C) the dollar will depreciate and the peso will appreciate. D) both the dollar and the peso will depreciate, although the peso will depreciate before the dollar depreciates. E) There is not enough information to answer the question.
If a central bank is said to be leaning against the wind, they have signaled that they will
A) intervene to reverse the current trend of their currency. B) intervene to accelerate the current trend of their currency. C) not intervene in the currency markets at all. D) work together with their opposition even if it is politically difficult.