You Have Saved a Total of $200,000 Over the Past

question 75

Multiple Choice

You have saved a total of $200,000 over the past several years. Jane, a trusted business associate, recently approached you with an offer. She has offered you a partnership in a new firm that she
Expects to be exceedingly profitable. Your initial investment in the partnership would be $125,000.
However, Jane cannot give you any odds on that success occurring. You have decided to keep your
$125,000 and forego this opportunity simply because you don't know the probability of success.
Which one of the following behavior characteristics do you have?

• A) Aversion to ambiguity.
• B) Recency bias.
• C) Sentiment-based risk aversion.
• D) Clustering illusion.
• E) Money illusion.

---

Definitions:

Emotional Abuse

A form of abuse characterized by a person subjecting or exposing another to behavior that may result in psychological trauma, including anxiety, chronic depression, or post-traumatic stress disorder.

Pediatric Unit

A specialized department within a hospital dedicated to the care and treatment of children and adolescents.

Bruises

Discolorations on the skin due to bleeding underneath, typically caused by trauma to the small blood vessels.

Broken Leg

A fracture or complete break in one of the bones of the leg.