Asked by Jeanette Retana on Apr 25, 2024
If the apartment owner can somehow see the effort of the each of the room mates and punishes with a loss of 5 to any room mate who doesn't clean,is that likely to lead to a more efficient outcome?
A) No because they would have to clean against their will
B) Yes because now they would both get a utility of 3
C) No because neither of them like cleaning
D) No because filth is good
Efficient Outcome
A situation in economics in which resources are allocated in the most effective manner, maximizing the potential benefit to an economy or market without wasting resources.
Utility
In economics, a measure of satisfaction or happiness that consumers get from consuming goods or services.
Apartment Owner
An individual or entity that holds the title to a residential unit in a building.
- Exhibit comprehension of efficiency and the optimal results in game scenarios.
- Clarify the influence of deterrents and incentives on the development of strategies and establishment of equilibria.
Learning Objectives
- Exhibit comprehension of efficiency and the optimal results in game scenarios.
- Clarify the influence of deterrents and incentives on the development of strategies and establishment of equilibria.