The tendency of people to discount long-term values more than they do near-term values—making many people "future blind"— is known in behavioral economics as myopia. anchoring. framing effects. time inconsistenc
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The tendency of people to discount long-term values more than they do near-term values—making many people "future blind"— is known in behavioral economics as
-
myopia.
-
anchoring.
-
framing effects.
-
time inconsistency.
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- Could you please write your own words, not copy-paste or plagiarism issues Question: Discuss the concept of relativeness in the context of decision making and happiness from behavioral economicsLoss aversion refers to the idea that people ________. generally tend to avoid risky activities are more prone to making losses than gains in day-to-day transactions psychologically weight a loss more heavily than they psychologically weight a gain are unwilling to undertake expenditures that reduce the probability of future lossesCould you please write your own words, not copy-paste or plagiarism issues Question: Discuss and provide examples of why context and identity are important determinants in affecting decision making processes in the context of behavioral economics
- Describe possible ethical issues about privacy as a result of business and government use of big data, focusing on behavioral economics, and using correlation rather than cause and effect for decisions.Prospect theory is based on behavioral economists' understanding of how people what? react to good things (or gains) and bad (or losses). make predictions about their future income. search for job prospects or business prospects. behave under stressful conditions.In the field of financial management, it has been observed that there is a trade-off between the rate of return that one earns on investments and the amount of risk that one must bear to earn that return. a) Draw a set of indifference curves between risk and return for a person that is risk-averse (a person that does not like risk).
- Please draw a utility function that exhibits risk-loving behavior for small gambles (low values)and risk-averse behavior for larger gambles (high value).University Health System located in San Antonio, Texas implemented a patient navigation program to improve screening for colorectal for Hispanic males, 50 and older, who were members of CareLink (Bexar County’s financial assistance program), and who had not received colorectal cancer screening in the last 10 years. The program incorporated the principle of ____________ (i.e. mistakes are expected and opportunities are given for correction) by making calls to remind patients of their missed appointments. This is a behavioral economics principle under the behavioral concept of ____________. Availability, Judgement Allowance for errors, Choice architecture Framing effects, Decision-making Fairness, Decision-makingWhat is loss aversion? Group of answer choices The tendency to focus more on the loss than the gain. The tendency of an individual to invest all of their resources to avoid losing. The ability of humans to exercise complete self control in high stakes situations to avoid losing. The temptation company’s face to invest in questionable techniques to avoid losing money.
- What type of bias relies too heavily on one piece of information in making a final decision? A. Availability Heuristic Bias B. Bandwagon Effect C. Anchoring Bias. Priyanka has an income of £90,000 and is a von Neumann-Morgenstern expected utility maximiser with von Neumann-Morgenstern utility index . There is a 1 % probability that there is flooding damage at her house. The repair of the damage would cost £80,000 which would reduce the income to £10,000. a) Would Priyanka be willing to spend £500 to purchase an insurance policy that would fully insure her against this loss? Explain.Gives explanation correctly