In the ultimatum game, allocators usually offer recipients at least a 40 percent share of the money, and recipients almost always reject offers of less than a 10 percent share. Which of the following does not explain why allocators offer recipients a relatively generous share and why recipients reject meager offers?
A) Fear of arousing outrage and abhorrence could influence economic decisions.
B) Allocators can count on recipients to ignore all considerations except financial benefit.
C) People can and often do reject offers that offend their sense of fairness even if doing so means taking a monetary loss.
D) Some people are careful not to engage in economic behavior that might offend and alienate others.
Correct Answer:
Verified
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