Determining the Cause of Behavior Is an Important Goal of Behavioral

question 22

Multiple Choice

Determining the cause of behavior is an important goal of behavioral science because:

• A)behavior cannot be altered unless the cause is known.
• B)predicting behavior necessitates a need to know the exact cause of the behavior.
• C)without knowing the cause of a specific behavior, there is always the risk of generating an erroneous description.
• D)it adds to the credibility of the scientist involved in behavioral research.

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Definitions:

Diversifiable Risk

A type of risk that can be reduced or mitigated through diversification or spreading investments across different assets to reduce exposure to any single risk.

Market Risk

The potential for financial loss due to fluctuations in market conditions, such as changes in stock prices, interest rates, or exchange rates.

Randomly Selected Stocks

Stocks chosen without any specific pattern, criteria, or bias, often used in sampling or experimental portfolios.

Portfolio

A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents held by an investor or institution.