You Take an Aspirin and Your Headache Goes Away

question 241

Multiple Choice

You take an Aspirin and your headache goes away. This makes it more likely that you will take an aspirin next time you have a headache. This is an example of:

• A) negative punishment.
• B) positive punishment.
• C) negative reinforcement.
• D) positive reinforcement.

---

Definitions:

Active Portfolio

An investment portfolio managed with the intention to outperform the market by selecting and managing investments through active decision-making.

Treynor-Black Model

The Treynor-Black Model is a portfolio optimization method that combines actively selected securities with a passively managed market portfolio for better risk-adjusted returns.

Macroeconomic Risks

Risks that arise from changes in economic policies, political stability, or other macroeconomic factors that can impact the overall market.

Microeconomic Risks

Risks associated with the effects of market mechanisms on supply and demand, influencing individual decisions in small-scale economies.