Suppose state A has to decide whether to go to war against state B or to remain in the status quo. A’s utility from the status quo equals 0.02. A has 20 units of powers, whereas B has 100 units of power. A’s probability of winning a war against B is 0.2. If A goes to war and wins, its utility will be 1, but if it loses, its utility will be 0. Suppose that A chooses to go to war. This implies that:
a. A is irrational.
b. A is risk-acceptant.
c. States sometimes seek power even if this puts their security at risk.
d. States never put their security at risk.
Ans: c
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