Prospect Theory Explains the Status-Quo Bias as a Combination of Loss

question 149

Multiple Choice

Prospect theory explains the status-quo bias as a combination of loss aversion and the

• A)anchoring effect.
• B)mental accounting effect.
• C)endowment effect.
• D)confirmation bias.

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Definitions:

Accelerator Position

A measurement of the angle or level to which the accelerator pedal is depressed, influencing vehicle speed.

Analog Potentiometer

An electrical component that varies resistance in a circuit to control a device, often used to adjust levels such as volume.

Hall-effect TPS

A throttle position sensor using the Hall-effect principle to measure the position of the throttle in an engine, translating the throttle's position into an electrical signal.

Transmitting Torque

The process of transferring rotational force from one part of a mechanical system to another, typically via gears, belts, or shafts.