Which of the Following Is an Example of the Precautionary

question 50

Multiple Choice

Which of the following is an example of the precautionary motive for saving?

• A)Pat puts $400 per month in his 401(k)retirement account.
• B)Jordan sets aside $200 per month in case she has to pay for a new roof for her house.
• C)Gerry and Terry put $2,000,000 in a trust fund that will go to their children when the parents die.
• D)Every month, Chris puts $400 into his saving account so that he can buy a new car in a few years.

Explain the concept of different types of mergers and their strategic purposes.

Understand the characteristics and behaviors of oligopolistic firms.

Comprehend the factors that create barriers to entry in an industry.

Identify legal and illegal competitive behaviors within different market structures.

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Definitions:

Observational Learning

Observational learning is a learning process through which individuals alter their behavior after observing others, modeling their actions based on what they have observed.

Habituation

The process by which there is a decrease in response to a stimulus after being repeatedly exposed to it, highlighting an organism's ability to adapt to its environment.

Emotional Arousal

The state of being emotionally stimulated or excited, which can affect both physiological and psychological functioning.

Observable Behavior

Any action or reaction of a person or animal that can be directly seen or measured.