This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: In what way does prospect theory differ from the standard theory of expected utility? a. With ... (Read 112 times)

arivle123

  • Hero Member
  • *****
  • Posts: 569
on: Jul 1, 2018
In what way does prospect theory differ from the standard theory of expected utility?
 a. With prospect theory, preferences depend only on final wealth levels.
  b. With prospect theory, preferences vary with initial (reference) wealth levels.
  c. With prospect theory, individuals are risk loving over small losses.
  d. With prospect theory, risk aversion does not play a role.

Question 2

Which is not a factor that makes cognitive mistakes more likely?
 a. uncertainty.
  b. time pressure.
  c. repetition.
  d. large number of choices.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bob

  • Sr. Member
  • ****
  • Posts: 343
Reply #1 on: Jul 1, 2018
Answer to Question 1

b

Answer to Question 2

c


arivle123

  • Member
  • Posts: 569
Reply 2 on: Jul 1, 2018
Excellent

xiazhe

  • Member
  • Posts: 331
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Malaria mortality rates are falling. Increased malaria prevention and control measures have greatly improved these rates. Since 2000, malaria mortality rates have fallen globally by 60% among all age groups, and by 65% among children under age 5.

Did you know?

The term bacteria was devised in the 19th century by German biologist Ferdinand Cohn. He based it on the Greek word "bakterion" meaning a small rod or staff. Cohn is considered to be the father of modern bacteriology.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

Earwax has antimicrobial properties that reduce the viability of bacteria and fungus in the human ear.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

C:N ratios differ a great deal among the tissues of pines and between the woody tissues of pines and C:N ratios differ a great deal among the tissues of pines and between the woody tissues of pines and
Richard Wrangham’s “female-bonded” theory of intergroup competition was highly influential in our un Richard Wrangham’s “female-bonded” theory of intergroup competition was highly influential in our un
The Triangular Theory of Love The Triangular Theory of Love
Four kinds of evidence supporting the theory that species evolve. Four kinds of evidence supporting the theory that species evolve.
How Mendel’s theory accounts for the results of his experiment on the inheritance of seed color in ... How Mendel’s theory accounts for the results of his experiment on the inheritance of seed color in ...
molecular orbital theory molecular orbital theory
Video: Introduction to Epilepsy

For a complete list of videos, visit our video library