Economic

Jackson decided to move closer to where he worked. Heput his condo on the market and started to look for a new one. 14 months later Jacson recieved an offer from Barbara and after a brief negotiation they settled on a selling price. Because Jackson had not found a condo to move into yet, he postponed the closing for 6 months to give himself time to look. Barbars was not happy about the wait, Jackson then adjusted the price of the sale so Barbara would accept his postponment. Two months later, Jackson found a condo he was interested in. The seller, Sophia, set the asking price at $145,000, which was $10,000 above what Jackson hoped to pay but $5,000 below the most he would be willing to pay. Jackson knew the more he paid for the condo, the less he would have to make alterations.

1. What is settelment point?

2. What is resistance point?

3. What is BATNA?

4. Which price should be in Win-win situation?