Mona and Salwa share an apartment and they are deciding whether or not to purchase a weekly housecleaning service. The value of the service to each of them is $50 and it costs $80 to hire a housecleaner. Suppose Salwa is lazy and a spendthrift and Mona suspects that Salwa will be willing to pay $80. What is Mona likely to do, given that she is as rational as any other person?
A) She might claim that she is not willing to pay for a housecleaner, hoping that Salwa would pay the entire $80.
B) She will correctly rationalize that Salwa's laziness and spendthrift ways are irrelevant to the decision at hand.
C) She will come clean and tell Salwa that since Salwa is lazy and a spendthrift she should pay a bigger share of the $80.
D) She might offer to do Salwa's housecleaning chores if salwa would pay her $50.

Question

Quizplus · Accepted Answer

Mona might claim she is not willing to pay for a housecleaner, hoping Salwa, given her characteristics, would pay the entire amount, thus allowing Mona to benefit without contributing.

Mona and Salwa Share an Apartment and They Are Deciding