​For the Following Question

question 28

Multiple Choice

​For the following question
Consider a simultaneous move game between a union and a company.If both the parties bargain hard,each would gain nothing.If only one party bargains hard the accommodating party gets a profit of $1 million while the bargaining party gets a $5 million,while if they both accommodate,they each get $3 million.
-​If the firm hires security guards to enforce a lockout,what are they implying?

• A)​They would always accommodate
• B)They would always bargain hard
• C)They would not accommodate
• D)​Both B&C

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Definitions:

Correlation Coefficient

A numeric metric that determines the intensity and orientation of a linear association between two numerical variables.

Range

The difference between the highest and lowest values in a set of data.

Magnitude

The size, extent, or importance of something, often quantitative in nature.

Perfect Positive Relationship

A correlation in which one variable increases exactly as the other one increases, represented by a correlation coefficient of +1.