Placebos A Placebo Is Any Kind of Drug, Procedure, or Treatment

question 243

Multiple Choice

Placebos
A placebo is any kind of drug, procedure, or treatment that does not have legitimate medicinal properties. Placebos do not contain any sort of active ingredient meant to treat an illness or injury. Placebo pills, for example, might be made out of sugar or corn starch. However, even though placebos contain no medicine whatsoever, people who take them often experience reactions that cannot possibly be triggered by the substances in the pills themselves. This is known as the placebo effect.
In one study of the placebo effect, volunteers were given a starch pill and told that it was a stimulant similar to caffeine. These volunteers reported feeling more alert and slightly jittery. They also showed an increased heart rate and a spike in blood pressure. Researchers then gave the exact same placebo pill to a different group of people, this time telling them that it was a depressant. The second group of participants reported feeling drowsy and sluggish, and showed a reduced heart rate and lowered blood pressure.
Researchers use placebos to evaluate the effectiveness and possible side effects of new drugs. For example, during a study for a drug to treat depression, half of the participants might be given the actual drug while the other half are given a placebo. None of the participants know whether or not they are taking the real drug or the placebo. Researchers can then compare the results between the two groups to determine whether or not the drug produces the desired results and examine the side effects.
Question: Based on the passage, what can be inferred regarding the volunteers mentioned in paragraph 2?

• A)The two groups were given the placebo pills at different times, in order to better understand the effects the given information had on the volunteers.
• B)The volunteers may have been in poor physical health, thus making it easier for the placebo effect to have taken place.
• C)Their reactions to the placebo pill might have been caused by the inclusion of starch in the placebo pills.
• D)The volunteers most likely would not have experienced the change in blood pressure and heart rate had they not been given information regarding the supposed effects of the placebo pill.

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Understand and apply the concepts of present value and how interest rates affect investment decisions and the value of future payments.

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Grasp the principles of the efficient market hypothesis, including the implications for stock prices and investment strategies.

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Definitions:

De Jure Corporation

A corporation that is fully in compliance with all state laws and therefore officially recognized as a legal entity.

De Facto Corporation

A company that operates as if it were legally incorporated, despite not having completed the necessary incorporation processes, and may thus be treated as a corporation in many contexts.

Shareholders

Owners of shares in a company, giving them rights to vote on company matters and receive dividends.

S Corporation

A special designation that allows small businesses to pass corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes.