In the Early 2000s, Economists and Firms Worked with a Research

question 5

Multiple Choice

In the early 2000s, economists and firms worked with a research arm of the Pentagon (specifically, DARPA) to develop prediction markets for national security purposes. One of the potential shares for trading would have been the event of a terrorist attack (the entire project was later canceled in 2003 because of publicity issues) . What would intelligence agencies have looked at to determine the likelihood of a terrorist attack at any particular time?

• A) the volume of trading
• B) the price of the share
• C) the level of fluctuation of the volume of trading
• D) the level of fluctuation of the price

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Definitions:

Illegal Contract

An agreement that is void and unenforceable because it involves activities that are against the law.

Civil Litigation

The process of one party’s suing another in a private action, conducted in a trial court.

Consensus

General agreement or collective opinion among a group of people.

Legal Permissibility

The extent to which an action or procedure is allowed within the bounds of the law.