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The Occupational Safety and Health Administration (OSHA) has determined that the probability of a worker dying from exposure to a hazardous chemical used in the production of fertilizer is 0.008. The cost of imposing a regulation that would ban the chemical is $32 million. If the value of a human life is equal to $10 million, how many people must the policy affect in order for the benefits to exceed the costs?
Psychological Reactance Theory
A theory which proposes that people value thinking and acting freely. Therefore, situations that threaten their freedom arouse discomfort and prompt efforts to restore freedom.
Regulatory Focus Theory
The theory proposing that individuals regulate their behavior via two distinct systems: promotion focus (pursuit of goals and aspirations) and prevention focus (avoidance of negative outcomes).
Elaboration Likelihood Model
A theory in social psychology that explains the different ways people process persuasive messages, either through careful thought and evaluation or more automatic responses.
Promotion Focus
A general tendency to think and act in ways oriented toward the approach of positive outcomes.
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