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An Individual Can Almost Eliminate Risk by Taking a Small

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An individual can almost eliminate risk by taking a small share in many independent events or by taking advantage of the predictability associated with large numbers of independent events.This strategy is known as:


Definitions:

Intercultural Communication

The process by which people from different cultural backgrounds attempt to share meaning and understand each other.

Assuming Similarity

Refers to the cognitive bias where one assumes others share the same beliefs and values.

Assuming Differences

The act of presuming that there are inherent distinctions between individuals or groups without evidence, often leading to stereotypes and misunderstandings.

Primacy Effect

Tendency to attend to the first pieces of information observed about another person in order to form an impression.

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