A Radio Story Reported a Study on the Makes and Models

question 352

Multiple Choice

A radio story reported a study on the makes and models of cars that were observed going through intersections in the Washington, D.C. area without stopping at the stop signs. According to the story, Volvos were heavily overrepresented; the fraction of cars running stop signs that were Volvos was much greater than the fraction of Volvos in the total population of cars in the D.C. area. This is initially surprising because Volvo has built a reputation as an especially safe car that appeals to sensible, safety-conscious drivers. How is this observation best explained?

• A)Volvo drivers are not willing to take risks that they would take in another, less safe car. Driving a Volvo leads to a propensity to run stop signs.
• B)Volvo drivers are not willing to take risks that they would take in another, less safe car. Driving a Volvo reduces the propensity to run stop signs.
• C)Volvo drivers are willing to take risks that they would not take in another, less safe car. Driving a Volvo reduces the propensity to run stop signs.
• D)Volvo drivers are willing to take risks that they would not take in another, less safe car. Driving a Volvo leads to a propensity to run stop signs.

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Definitions:

UCC

A broad set of regulations known as the Uniform Commercial Code is in place to manage all commercial dealings within the United States.

Customer

An individual or entity that purchases goods or services from another individual or entity, usually in a retail or business-to-business context.

Negotiable Instruments

Negotiable instruments are financial documents representing a promise to pay a specified amount of money, such as checks, promissory notes, and bills of exchange.

UCC Article 3

It governs negotiable instruments, including checks and notes, within the Uniform Commercial Code.