It is late October. The boss of a group of office workers makes an announcement regarding their paychecks for the rest of the year. Specifically, he announces that in addition to their base pay, all employees will receive a bonus of $1,000 added to the November paycheck and $700 added to the December paycheck. The following dialog is between the two brightest employees, both of whom studied economics in college.
BOB: Hey, this is pretty good news, huh? I could sure use some extra cash for the holidays.
DAVID: What jerks! I can’t believe management is slashing our pay in December.
BOB: Wha– what do you mean? They just announced we’re getting more money than we originally expected. This announcement signifies a generous wage policy.
DAVID: Are you daft? Before the announcement, I expected my paycheck in December to equal my paycheck in November. Now, I’m expecting a $300 fall in my paycheck, going into December. Just like ol’ management, sticking us with a tight wage policy at Christmas.
QUESTION #1: In the above dispute, who is making more sense–Bob or David?
QUESTION #2: Why did I choose these names?