A congresswoman is running for reelection to a fifth term in a district with an automobile manufacturing plant that employs many of her constituents. An environmental group, which advocates for stricter emissions standards that would be expensive for the manufacturing plant to implement, is considering giving her a donation. Why might it decide to donate to this campaign?
A) This situation is a prisoner's dilemma, and the congresswoman is more likely to grant evenhanded access to environmentalists and manufacturers if both donate.
B) This situation is a prisoner's dilemma, and the congresswoman will refuse to hear any arguments from environmentalists unless they donate.
C) This situation is an opportunity for investment, since the congresswoman is just starting her career and is likely to favor groups who support her at this point.
D) This situation is a coordination problem, and the environmental group will only gain any benefit from its contribution if it works with other environmental groups.
E) This situation is a coordination problem, and the environmental group will only gain any benefit from its contribution if it works with advocates for the manufacturing plant.
Correct Answer:
Verified
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