If Individuals Can Credibly Cooperate and Split the Gains, Which

question 35

Multiple Choice

If individuals can credibly cooperate and split the gains, which payoff is the most likely? $$\begin{array} { | l | l | l | } \hline & \text { A: Not Cheat } & \text { A: Cheat } \\\hline \text { B: Not Cheat } & \text { A: } 1 , \text { B: } 50 & \text { A: } 1 , \text { B: } 1 \\\hline \text { B: Cheat } & \text { A: } 2 , \text { B: } 1 & \text { A: } 5 , \text { B: } 5 \\\hline\end{array}$$

• A)1, 11
• B)1, 1
• C)2, 1
• D)5, 5

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Definitions:

Unreasonable Risk

A hazard that exceeds what would be considered acceptable or safe under normal circumstances.

Harm

Physical or psychological injury or damage suffered by an individual, which can be a basis for legal action.

Assault

An intentional act that creates a reasonable apprehension of immediate harmful or offensive contact.

Immediate Bodily Harm

A situation where physical injury or damage to a person's body is either happening or is imminent.