Which of the Following Examples Indicates the Use of the Formulation

question 4

Multiple Choice

Which of the following examples indicates the use of the formulation style by a mediator?

• A) During the 1972 crisis between North Yemen and South Yemen, the mediator, Colonel Moammar Qaddhafi of Libya, offered the delegation leaders of both sides nearly $50 million in annual aid if they did reach an agreement.
• B) During the 1992 crisis between Liberia and Sierra Leone, the Economic Community of West African States (ECOWAS) successfully structured the bargaining process and proposed the outcome to which the parties ultimately agreed.
• C) During the 1990 crisis between India and Pakistan, the U.S. delegation to Pakistan communicated that Pakistan's military was inferior and that the United States did not intend to help Pakistan in a war.
• D) During the 1972 crisis between North Yemen and South Yemen, the mediator, Colonel Moammar Qaddhafi of Libya, threatened to hold captive the delegation leaders of both sides if they did not reach agreement.

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Definitions:

Marginal Analysis

The examination of the benefits and costs of an additional unit of consumption or production to make decisions on allocations of resources.

Risk Aversion

The behavior of preferring to avoid loss rather than making a gain, reflecting a preference for certainty over uncertainty.

Irrational Decision

A choice made that contradicts logical reasoning, often influenced by emotional factors or cognitive biases.

Status Quo Bias

The tendency to avoid making a decision.