The Ben Franklin Effect Would Predict That You Would Most

question 155

Multiple Choice

The Ben Franklin effect would predict that you would most like someone ________, whereas behaviorist theories would predict that you would most like someone ________.

• A)who treated you rudely; who treated you kindly
• B)you did a favor for; who did a favor for you
• C)who rewarded you strongly; whom you rewarded strongly
• D)who challenged your attitude; affirmed your attitude

Evaluate the role of data in decision making and its impact on management practices and compensation.

Understand the concepts and roles of divisions within a firm, including profit centers and cost centers.

Recognize the reasons and solutions for conflicts between different divisions in a firm.

Understand how different reward and evaluation mechanisms impact division manager's decisions and divisional performance.

---

Definitions:

English Auction

A bidding process where the price of the item for sale ascends with each bid, and the highest bid at the auction's close wins.

Reservation Price

Maximum price that a customer is willing to pay for a good.

Bargaining Power

The ability of a party (individual, group, company) to exert influence over the terms and conditions of an agreement or negotiation.

Winner's Curse

The Winner's Curse is a phenomenon that occurs in auctions, where the winner tends to overpay due to estimating the value of an item more highly than its true value.