Reinforcement Theory Says Behavior Is a Function Of___________

question 29

Multiple Choice

Reinforcement theory says behavior is a function of___________ .

• A) perception
• B) environment
• C) its consequences
• D) conscious choices
• E) the situations in which it occurs

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Definitions:

Moral Hazard

The situation where one party in a transaction has the opportunity to take risks because they know the other party will bear the costs.

Portfolio's Risk

Portfolio's risk is the level of uncertainty associated with the returns on a collection of assets held by an investor.

Stocks

Financial instruments representing ownership shares in a company, entitling holders to a portion of the company's profits.

Diversified Portfolio

An investment strategy that involves holding a range of different investment vehicles in order to reduce risk.