Which One of the Following Biases Refers to Individuals Who

question 28

Multiple Choice

Which one of the following biases refers to individuals who tend to strongly prefer avoiding losses rather than acquiring gains?

• A)loss leaders
• B)zero-risk bias
• C)self-serving bias
• D)loss aversion
• E)money illusion

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Definitions:

FMLA

The Family and Medical Leave Act, a U.S. federal law guaranteeing certain employees up to 12 weeks of unpaid leave annually without the risk of job loss.

IRCA

The Immigration Reform and Control Act of 1986, U.S. legislation that makes it illegal to hire undocumented immigrants knowingly and mandates employment verification.

ACA

The Affordable Care Act, a comprehensive health care reform law enacted in March 2010 in the United States.

Legalistic Management

A management style that heavily relies on following rules, regulations, and formal procedures to govern decisions and actions within an organization.