Confirmation Bias Refers to the Situation Where

question 89

Multiple Choice

Confirmation bias refers to the situation where

• A) Investors have a propensity to sell winners too soon and hang on to losers too long.
• B) Investors ignore bad news and overemphasize good news.
• C) Investors tend to follow the herd.
• D) Investors put more money into a failure rather than into a success.
• E) Investors are all noise traders.

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Definitions:

Diminished Respect

Diminished respect describes a reduction in the admiration, esteem, or regard that someone holds for another person or entity, often due to actions or behaviors deemed unacceptable or disappointing.

Increased Social Pressure

The amplification of societal or group force that influences individuals to conform to expected norms or behaviors.

Directive Leadership

A leadership style characterized by giving clear, explicit instructions and expecting compliance from team members.

Organizational Commitment

The extent to which an employee develops an attachment and feels a sense of loyalty to their employer.