Benson and Colleagues (1976)did an Experiment in Which an Application

question 133

Multiple Choice

Benson and colleagues (1976) did an experiment in which an application packet was left at an airport phone booth with either an attractive or unattractive picture of the applicant.The packet had been ostensibly lost and had a stamped,addressed envelope with it.They found that

• A)people were more likely to send in the packets of the attractive than the unattractive applicants.
• B)people were more likely to send in the packets of the unattractive than the attractive applicants.
• C)people were more likely to help the attractive applicant only if they were known to the applicant and had the chance of developing a relationship with them.
• D)people were more likely to help the unattractive applicant only if they were known to the applicant and had the chance of developing a relationship with them.

Understand the legal rights and remedies available in cases of fraudulent inducement in contract formation.

Analyze the legal consequences of contracts aiming to commit insurance fraud.

Assess the legal validity of contracts that involve unethical or illegal procurement of business advantages.

Identify the legal status of contracts involving payment for illicit activities.

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Definitions:

Labor Force

The total number of people who are employed and unemployed but seeking work within an economy.

Participation Rate

The portion of earnings or benefits that an investor receives, often referring to the level of involvement in a profit-sharing arrangement or the extent to which individuals participate in a specific financial product or market.

Nominal Interest Rate

The interest rate stated on a loan or bond, not adjusted for inflation or other factors that affect the real value of interest earnings.

Inflation Rate

The percentage increase in the general level of prices for goods and services over a specific period, usually a year.