In society A there are two types of individuals: The "day1"-types have high bargaining power-they get 99 percent of any surplus when they negotiate on an issue with a soft-type individual. When two individuals of the same type negotiate, they share the surplus equally. In society B, however, all individuals are of the same type and any surplus is shared 50-50. Explain why in society A private negotiations will be less conducive to agreements, using negotiation costs concepts. Give a numerical example to support your argument.