The Financial Product Used for Transferring and Reducing Risk by Having

question 90

Multiple Choice

The financial product used for transferring and reducing risk by having a large number of people share in the financial losses suffered by members of the group is called

• A)insurance
• B)a premium.
• C)fortuitous
• D)a peril.

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Definitions:

Operant Conditioning

A method of education where the potency of an act is shaped by incentives or sanctions.

Classical Conditioning

Through a repetitive pairing process, a learning method occurs where a response initially triggered by the second of two stimuli becomes triggered by only the first stimulus.

Social Learning Theory

A theory that posits individuals learn behaviors, skills, attitudes, and beliefs through observing and imitating the actions of others within social contexts.

Biofeedback Theory

A technique that teaches individuals to control bodily processes that are normally involuntary, like heart rate, using monitoring devices.