In 2000, Researchers Brigitte Madrian and Dennis Shea Analyzed the 401(k)

question 48

Multiple Choice

In 2000, researchers Brigitte Madrian and Dennis Shea analyzed the 401(k) savings behavior of employees in a large U.S. corporation before and after an interesting change in the company 401(k) plan.
Before the plan change, employees were not automatically enrolled as participants in the company 401(k) plan upon being hired and were required to complete paperwork if they wanted to opt in. After the plan change, new employees were automatically enrolled in the 401(k) plan and were required to complete paperwork if they wanted to opt out. The amount of time and effort required to either opt in or opt out was approximately equal. None of the economic features of the plan changed.

-A finding of no significant difference in 401(k) plan participation after the plan change provides evidence that employee 401(k) participation decisions are made ___________ effects do not exist in the context of 401(k) plan participation.

• A) rationally and rational
• B) irrationally and priming
• C) rationally and framing
• D) irrationally and framing
• E) rationally and fairness

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Definitions:

Motor Development

The progression of muscle coordination, strength, and movement abilities in children, crucial for physical activities like crawling, walking, and grasping.

Genetic Tendencies

Inherited traits or predispositions influenced by an individual's genes which can affect various aspects of their health, behavior, and physical appearance.

Maturation

The process of development in which an individual matures or reaches full growth and development, often highlighting physiological or biological growth patterns.

Motor Skills

The abilities required to control and coordinate the movements of the body, including both fine (small) and gross (large) motor skills.