Suppose Evan and Robert are each filling out a separate survey about parking on campus. On Evan's survey, the first question asks about whether he thinks the fine for parking illegally on campus should be $50, and on Robert's survey the first question asks about whether he thinks the fine should be $100. For both Evan and Robert, the second question asks how much each thinks the fine currently is. If Evan and Robert know nothing about the parking fines on campus, but each uses anchoring and adjustment to form his assessment, then, all else equal, you would expect:

A. Robert's estimate of the current fine to be higher than Evan's.
B. Evan's estimate of the current fine to be higher than Robert's.
C. their estimates to be identical.
D. both of them to guess a number between $50 and $100.


Answer: A

Economics

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