The table below shows how the payoffs to two political candidates depend on whether the candidates run a positive or negative campaign. The payoffs are given in terms of the percentage change in the number of votes received. In the Nash equilibrium of this game:

A. both candidates run negative campaigns.
B. one candidate runs a positive campaign, and the other runs a negative campaign.
C. as long as one party runs a positive campaign, the other does too.
D. both candidates run positive campaigns.

Answer: A

Economics

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The American Recovery and Reinvestment Act of 2009 is a clear example of:

A. Nondiscretionary fiscal policy that made the cyclically-adjusted budget become more positive B. Nondiscretionary fiscal policy that made the cyclically-adjusted budget become more negative C. Discretionary fiscal policy that made the cyclically-adjusted budget become more positive D. Discretionary fiscal policy that made the cyclically-adjusted budget become more negative

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