Multiple Choice
In their original study, Berg et al. start the game by giving the same endowment to both the first movers and the second movers. The reason they do this is because:
A) It would be unethical not to do so.
B) If the second mover did not have the same endowment and the first mover transferred money to the second mover, we would not be able to distinguish whether this was due to trust or due to inequity aversion.
C) If the second mover did not have the same endowment and the first mover transferred money to the second mover, we would not be able to distinguish whether this was due to inequity aversion or the fear of rejection.
D) Berg et al. wanted both participants to have the same bargaining power.
Correct Answer:

Verified
Correct Answer:
Verified
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