In NASCAR,a race winner might win,say,$500,000,whereas second place wins $450,000.Why might NASCAR have a 10% reduction in prize money from first and second place?
A) To ensure that there is enough money to pay those who finish near last.
B) To motivate drivers to take risks they might not otherwise take.
C) To motivate drivers to not take risks they might otherwise take.
D) NASCAR is a cartel.

Question

Quizplus · Accepted Answer

By offering a higher reward for first place and a slightly lower reward for second place, NASCAR is motivating drivers to take greater risks that they might not have taken if the difference in reward between first and second place was less. This enhances the excitement and competitiveness of the race.

In NASCAR,a Race Winner Might Win,say,$500,000,whereas Second Place Wins $450,000