President Obama is undoubtedly correct, however, in suggesting that many states are "lowballing
expectations." Of the remaining 38 states, 27 earned a C, and 8--Arizona, Idaho, Illinois, Maryland, Michigan, New York, Texas, and Virginia--a D.
Let me quote Rahmstorf a little more: lowballing
the estimate of sea-level rise is "the opposite of 'erring on the safe side' (assuming it is better to have overestimated the problem and made the transition to a low-carbon society a little earlier than needed, rather than to have underestimated it and sunk coastal cities and entire island nations).
These are referenced as no-commitment models and infer a price lowballing pattern over time.
While our findings do not resolve the conflicting results generated previously by researchers, they do provide a clear indication of price lowballing in a relatively young, innovative insurance market.
The resulting pattern of price adjustment is known as price lowballing (D'Arcy and Doherty, 1990).
D'Arcy and Doherty conclude that their findings are consistent with the Kunreuther-Pauly's model which predicts price lowballing.
He blames the lowballing
on a price war begun by discounters and then joined by supermarkets and drug chains.
SS developed a model of lowballing and reporting behavior where auditor heterogeneity with respect to audit cost and quality caused lowball pricing that could impact audit reporting decisions.
Magee and Tseng (1990) derived a competitive equilibrium in which lowballing occurred under both scenarios, but auditors impaired objectivity only when there was auditor heterogeneity.
The certainty markets also contain evidence of auditors lowballing on initial engagements.
The uncertainty markets contain evidence of auditors lowballing on initial engagements over all periods; the mean new auditor price of 32.00 is significantly below the cost of 40 (t = -1.96, df = 17).
He said the nuclear negotiations with the Group 5+1 (the US, Russia, China, Britain and France plus Germany) are progressing well, but "they are lowballing
with regard to certain issues that we had agreed on."