Now, Let's Ask What Happens When the Parties Play a Game

question 18

Multiple Choice

Now, let's ask what happens when the parties play a game like the one in Figure 1,
Figure 1. The Electoral Reform Game-Example 1
except that the benefit to the large party of having disproportional rules is much less, and the penalties to the smaller party from disproportional electoral rules are lower. This might be because the smaller party has been attracting a larger electorate, whereas the large party has been losing voters. This new situation is modeled in Figure 3 below. Using Figure 3, answer the following questions.
Figure 3. The Electoral Reform Game-Example 2

-If this were an accurate model of a particular country at a particular time, what would you predict about the behavior of the large party? The small party?

• A) Both parties will support reforms.
• B) Neither party will support reforms.
• C) The large party will support reforms, but the small party will oppose them.
• D) The large party will oppose reforms, but the small party will support them.
• E) No way to tell.

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Definitions:

Coefficient of Correlation

A statistical measure that indicates the extent to which two variables change together.

Probability Distribution

A mathematical function outlining every potential value and associated probabilities a random variable may assume in a specified interval.

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A portfolio that offers the highest expected return for a given level of risk, according to modern portfolio theory.