Suppose there are two small island countries: Avarice,which is populated by people who are completely self-interested and Altruism,which is populated by people who have adopted social norms of generosity and cooperation.
Refer to the information given above.Commitment problems will be:
A)largely avoided in Avarice,but prevalent in Altruism.
B)largely avoided in Altruism,but prevalent in Avarice.
C)prevalent on both islands.
D)largely avoided on both islands.

Question

Quizplus · Accepted Answer

A preference for generosity and cooperation will serve as commitment devices.

Suppose There Are Two Small Island Countries: Avarice,which Is Populated