What do we mean when we say a contract is a zero sum game?
A) Neither party to the contract makes any money.
B) Neither party to the contract loses any money.
C) One party to the contract can make money only at the expense of the other.
D) Neither party pays any money at the outset of the contract.
E) Both parties either make money or lose money, in equal amounts.

Question

Quizplus · Accepted Answer

A zero-sum game implies that the gain of one party is exactly balanced by the loss of another party. In the context of a contract, this means one party's financial gain is equivalent to the other party's financial loss.

What Do We Mean When We Say a Contract Is