Results of the Ultimatum Game Indicate That Most People Value

question 162

True/False

Results of the ultimatum game indicate that most people value fairness enough that they will refuse to participate in a transaction they consider unfair, even if they are worse off financially as a result.

---

Definitions:

Delphiniums

Are a genus of flowering plants known for their tall spikes of colorful flowers, commonly used in gardens and floral arrangements.

Perfect Substitutes

Goods or services that can be used in place of one another with no loss of utility or satisfaction.

Income Effect

Refers to adjustments in consumer behavior as a result of changes in purchasing power, influencing the demand for products and services.

Substitution Effect

The change in consumption patterns due to a change in relative prices, where consumers substitute a cheaper alternative for a more expensive good.