Plus and Minus One Standard Deviation Unit Around the Mean

question 16

True/False

Plus and minus one standard deviation unit around the mean encompasses approximately 68% of the population.

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Definitions:

Rational Decision

A decision-making process that is based on making choices that result in the optimal level of benefit or utility for an individual.

Economic Payoff

The return or financial outcome received from an investment, decision, or policy, typically expressed in terms of profit or cost savings.

Behavioral Economics

A field of economic research that incorporates psychological insights into human behavior to explain economic decision-making.

Irrational

Describes a decision maker who chooses an option that leaves him or her worse off than choosing another available option.