Multiple Choice

In a famous economic experiment, introducing a small monetary fine for parents who picked up their children late from a daycare center surprisingly led to an increase in late pickups. The fine seemed to change the parents' perception from a social obligation (feeling guilty for being late) to a market transaction (paying for a service). If a new experiment were conducted where the fine was made substantially larger—equal to the full cost of one day of care—what would be the most likely outcome?

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Updated 2025-07-18

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Introduction to Microeconomics Course

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