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Several studies have shown that people with damage to the ventromedial prefrontal cortex (VMPFC) show greater risk-taking than people with no brain damage. Which of the following is a plausible explanation for this finding, considered on its own?
Households' Decision
The choices made by households regarding consumption, savings, and labor supply based on income, preferences, and economic conditions.
Save Less
Refers to a decrease in the amount of income that individuals or entities set aside as savings.
Demand-for-loanable-funds
The desire for borrowing money from available financial resources, influenced by the interest rate.
Investment Tax Credit
A tax credit offered to firms or individuals that invest in certain types of assets, aimed at encouraging investment.
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