Related to the Economics in Practice on page 218: A study discussed in the Economics in Practice found that NFL teams that trade two lower draft picks for one higher pick tend to ________ player productivity and therefore ________ for that pick in terms of the draft-pick trade.
A) underestimate; overpay
B) underestimate; underpay
C) overestimate; overpay
D) overestimate; underpay

Question

Quizplus · Accepted Answer

The study found that NFL teams tend to overestimate the productivity of players selected with higher draft picks when they trade two lower picks for one higher pick, leading them to overpay in terms of the draft-pick trade.

Related to the Economics in Practice on Page 218: a Study