The fact that consumers often react more to changes in the posted ...

[mckennatimberlake]

The fact that consumers often react more to changes in the posted price of a good as compared to changes in the sales tax that is not posted is an example of
 
  A) salience.
  B) salinity.
  C) stupidity.
  D) rational ignorance.

Question 2

What is one potential problem with offering a choice of contracts to two different employees?
 
  A) If Employee A is paid more than Employee B, Employee A might sue for discrimination.
  B) Employee A might be paid less than Employee B, proving statistical discrimination.
  C) The two employees might compare salaries without comparing risk-preferences, thereby running the risk of jealousy or claims of discrimination.
  D) The two employees might compare risk preferences without comparing salaries, thereby running the risk of jealousy or claims of discrimination.

[Zebsrer]

Answer to Question 1

A

Answer to Question 2

C

[mckennatimberlake]

Thank you

[Zebsrer]

No problemo