A low cost of CD (choosing to cooperate while the other player chooses to defect) results in __________.
a. a degraded level of trust
b. instability and a high probability of conflict
c. a higher likelihood of reaching the solution in iterated rounds
d. easier security and cooperation
Question 2
What primary fault does Rodrik find with the arguments of proponents of free trade?
a. The actual fault is in making the free trade argument.
b. They vastly overstate the effectiveness of economic openness as a tool for fostering development.
c. They fail to concentrate on the empirical evidence that guarantees that deep trade liberalization will deliver higher economic growth.
d. They place too much emphasis on the individual circumstances and domestic qualities of individual states, which dilutes the strength of the theory.
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