Final answer:
The Final-offer total package (FOTP), also known as Final-offer total package arbitration, is a form of interest arbitration that forces an arbitrator to choose between the employer's or union's final proposals on all issues in a labor dispute. Therefore, the most appropriate option is C.
Step-by-step explanation:
The form of interest arbitration being described is the Final-offer total package (FOTP) or Final-offer total package arbitration. This method of arbitration is used to resolve interest disputes, typical in labor negotiations when a union and employer cannot come to an agreement on contract terms. In Final-offer total package arbitration, the arbitrator must choose either the employer's or the union's best and final offer on the entire package of terms, without being allowed to select issues from each side or compromise between proposals. This process pressures both parties to be more reasonable in their final offers, as they each run the risk of the arbitrator selecting the other party's proposal in total if they are not.