On His Way to Buy a Snack,Jed Sees an Ad

question 87

Multiple Choice

On his way to buy a snack,Jed sees an ad that simply shows one juicy hamburger.Rather than getting ice cream as he had planned,Jed buys French fries instead.According to the spreading activation model,the hamburger most likely made Jed want French fries because

• A) eating hamburgers and French fries are part of the same procedural memory.
• B) he misattributed his memory of the ad to being about French fries.
• C) the hamburger activated the node for French fries.
• D) the French fries were encoded with the hamburger in the ad.

---

Definitions:

Risk-Averse Investors

Investors who prioritize minimizing risk over maximizing returns, often choosing safer, lower-yield investments.

Uncertainty

The state of having limited knowledge where it is impossible to exactly describe the existing state, a future outcome, or more than one possible outcome.

Negatively Correlated

A relationship between two variables in which one variable increases as the other decreases.

Portfolio Risk

The degree of uncertainty of returns on a portfolio due to the possibility of changes in the values of the holdings.