Melissa Is Doing a Project for Her Lab Class in a Group

question 200

Multiple Choice

Melissa is doing a project for her lab class in a group with three other people. Melissa knows that two of the other girls are straight A students and that they will do an excellent job on the project. Melissa also knows that the teacher will not know who has done what work on the project so she does not put much work into it. Melissa is falling sway to

• A)social facilitation
• B)group think
• C)norm of reciprocity
• D)social loafing

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Definitions:

Loss Aversion

A psychological principle stating individuals prefer avoiding losses to acquiring equivalent gains.

Regret Avoidance

A cognitive process that leads investors to make decisions in a way that minimizes the regret they might feel from taking or not taking certain actions.

Mental Accounting

The tendency of individuals to allocate and segregate their personal finances into separate accounts based on subjective criteria, often leading to irrational financial decision-making.

Technical Trading Strategies

Methods used by traders that rely on technical analysis and market indicators to make buy or sell decisions.