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Taking into Account the Risk/return Trade-Off, It Would Stand to Reason

question 54

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Taking into account the risk/return trade-off, it would stand to reason that a secured bond holds a lower interest rate than an unsecured bond.


Definitions:

1:1 Contingency

In behavioral psychology, this refers to a situation where every instance of a specific behavior is followed by a particular consequence, ensuring a direct correlation between behavior and outcome.

2:1 Contingency

A reinforcement schedule where two responses are required for one reinforcement to be given.

Matching Law

A principle stating that in a situation with multiple options for reinforcement, the proportion of responses directed toward an option matches the proportion of reinforcers obtained from that option.

Ratio Schedules

In operant conditioning, schedules that deliver reinforcement after a certain number of responses have been made, either fixed or variable.

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