Author Question: James has just purchased a stock for 50 a share, and in the first two days it rises to 60 a share. ... (Read 107 times)

nautica902 · **on:** Jun 22, 2018

James has just purchased a stock for 50 a share, and in the first two days it rises to 60 a share. James decides that this 20 gain in 48 hours is a nice little windfall, and sells the stocks at that price. The fact that it next goes up to 80 a share in the following month leaves James wondering why he sold. This tendency to sell a stock too quickly after its value has increased is called the ____ effect.

a. endowment
b. disposition
c. escalation
d. sunk cost

Question 2

No one else seems concerned about the welfare of the woman lying down in the alley. Therefore, Maureen steps over her as well, figuring that she is simply drunk or asleep and not in need of emergency assistance. Maureen's behavior is an example of

a. informational social influence.
b. normative social influence.
c. compliance.
d. obedience.