Hotelling's model has been used to describe differentiation in the political "market." Suppose that 100 voters are evenly distributed between the extreme left and the extreme right on the political spectrum, and that all voters vote, and they always vote for the candidate closest to them on this spectrum. The numbers on this spectrum represent the number of voters lying to the left of the number. So, at the midpoint, fifty voters lie to the left and fifty to the right. To an economic naturalist, this model helps explain why political candidates:
A) take more extreme positions than are held by the general population.
B) move toward more centrist positions during campaign season.
C) work to bring federally funded projects to their home districts.
D) are loyal to their political parties.
Correct Answer:
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