In a Dictator Game, Player a Must Divide $100 Between

question 320

Multiple Choice

In a dictator game, player A must divide $100 between player A and player B. In this game, player B does not have the opportunity to reject an offer - he or she goes home with whatever player A offers. Experiments have observed that when player A splits the $100, he or she consistently offers over $10 to player B. Which of the following comments fits best.

• A)Although player A is acting as economic theory usually assumes, he or she makes such offers because they seem more fair.
• B)Although player A is acting as economic theory usually assumes, he or she makes such offers although they are not fair.
• C)Although player A is not acting as economic theory usually assumes, he or she makes such offers because they seem more fair.
• D)Although player A is not acting as economic theory usually assumes, he or she makes such offers because they are not fair.

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National Government

The government of a nation-state, responsible for the administration and governance of the country as a whole, in contrast to regional or local governments.

Unfunded Mandates

Regulations or conditions for receiving grants imposed by the federal government on state and local governments or on private entities, often without providing accompanying funding.

General Revenue Sharing

A federal program in the United States (1972-1987), which provided state and local governments with unrestricted funds to be used at their discretion for a wide range of public purposes.

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Financial assistance provided by the federal government to state or local governments for broad purposes, with relatively few restrictions on how the funds may be spent.