The reason why a door-to-door salesman is able to sell a bogus cure for baldness, while the dishonest owner of a neighborhood barbershop cannot is because of the:
A) End-of-game problem.
B) First-mover advantage.
C) Prisoner's dilemma.
D) Reciprocity problem.
E) Food and Drug Administration.

Question

Quizplus · Accepted Answer

The end-of-game problem refers to situations where one party can exploit another because there is no future interaction expected that would otherwise encourage fair play. A door-to-door salesman, unlike a local barbershop owner, does not expect to interact with the customer again, thus is more able to sell a bogus product without worrying about future repercussions or the need to maintain a long-term reputation.

The Reason Why a Door-To-Door Salesman Is Able to Sell