Are You Prepared to Share?


Prepared by:

Joseph Malkevitch
Mathematics Department
York College (CUNY)
Jamaica, NY 11451

email: 

malkevitch@york.cuny.edu

web page: 

http://york.cuny.edu

Activity

The Free Lunch Foundation (FLF) offers two people X and Y the following opportunity one time only opportunity.

X will be given $30 which X must split into two parts, one for X and the other for Y. X is not able to discuss with Y how Y looks at matters.

If Y accepts the amount Y is offered by X, then FLF gives X the $30 and the split is carried out. If Y does not accept what is offered them FLF gives X nothing, so neither X nor Y get anything. Y understands how the arrangement works.

Question 1

If you were offered the role of X how would you split the $30?

Question 2.

What do you think people when offered this opportunity actually do?