Discuss the Risk/return Tradeoff and How It Relates to Finance

question 85

Essay

Discuss the risk/return tradeoff and how it relates to finance.

---

Definitions:

Prefrontal Cortex

The front part of the frontal lobe of the brain, involved in decision making, social behavior, and personality expression.

Amygdala

A part of the brain's limbic system, involved in emotion regulation, especially fear, and memory processing.

Language

A system of spoken, written, or signed symbols through which humans communicate thoughts, feelings, ideas, and information.

Myelination

The process of forming a myelin sheath around the nerves, which increases the speed at which electrical impulses propagate along the nerve cells.