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"Loss Aversion" Helps Explain Why People Buy Insurance Policies with Lower

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"Loss aversion" helps explain why people buy insurance policies with lower deductibles even though the policies are more expensive.


Definitions:

Response Variable

The variable in a study that responds or is presumed to change due to the influence of another variable.

Weakest Correlation

The situation where two variables have the smallest degree of linear relationship between them, often near zero.

Malaria Cases

The number of individuals diagnosed with malaria during a given time period.

Weather Variables

Key elements that define the state of the atmosphere, including temperature, humidity, precipitation, wind speed, and atmospheric pressure.

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