Over the Past Six Months, You Have Watched as Your

question 15

Multiple Choice

Over the past six months, you have watched as your parent's retirement savings have declined in value by 45 percent due to a severe financial market downturn. As a result, you have decided that you will never invest in stocks for your own retirement but will instead keep all of your money in an insured bank account. Which behavior characteristic have you developed as a result of the market downturn?

• A) Myopic loss aversion.
• B) False fallacy.
• C) Self-attribution bias.
• D) Mental accounting.
• E) Regret aversion.

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Definitions:

Investment Model

A theoretical model that suggests relationship commitment is determined by satisfaction, alternatives, and investment size.

Self-Esteem

An individual's subjective evaluation of their own worth, encompassing beliefs and emotions such as triumph, despair, pride, and shame.

Self-Love

the regard for one's own well-being and happiness, considered as a desirable rather than narcissistic characteristic.

Self-Esteem

Someone's self-determined assessment of their importance or worth.