The Following Questions Apply to the Following Simplified Bank Balance

question 6

Multiple Choice

The following questions apply to the following simplified bank balance sheet

-Shareholders in the bank above are offered the following deal.The bank will gamble the whole loan book on a double or nothing coin toss (i.e.50% chance loan book doubles in value,50% chance it has zero value) .From the shareholders point of view,this deal

• A) gives them a 50% chance of losing 10 and a 50% chance of gaining 10
• B) gives them a 50% chance of losing 10 and a 50% chance of gaining 20
• C) gives them a 50% chance of losing 10 and a 50% chance of gaining 100
• D) gives them a 50% chance of losing 100 and a 50% chance of gaining 100
• E) gives them a 50% chance of losing 100 and a 50% chance of gaining 200

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Definitions:

Counterconditioning

The elimination of a conditioned response when the conditioned stimulus is paired with an opponent or antagonistic unconditioned stimulus

Stimulus Substitution

A theory in classical conditioning suggesting that a conditioned stimulus acts as a substitute for an unconditioned stimulus, eliciting a similar response.

Basolateral Amygdala

A region of the amygdala involved in processing emotional responses, memory, and decision-making, crucial for fear conditioning and associative learning.

Corticomedial Amygdala

The section of the amygdala that is activated by a surprising event