A Researcher at a University in Nevada Claims to Have

question 473

Multiple Choice

A researcher at a university in Nevada claims to have discovered that humans have a "gambling instinct." Another researcher in Hawaii claims humans have found a "surfing instinct." What is wrong with these claims?

• A) These claims do not explain behavior.
• B) Gambling and surfing are not learned behaviors.
• C) They are instincts in men but not in women.
• D) There is no incentive in gambling and surfing.

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Definitions:

Lag

Lag refers to a delay that occurs between the cause and effect of an economic policy or other measured variable in the analysis of data.

Income Effect

The change in an individual's or economy's income and how that change will affect the quantity demanded of a good or service.

Substitution Effect

The change in quantity demanded resulting from a change in the price of a good, making other goods more or less expensive relative.

Saving

The process of setting aside a portion of current income for future use or investment.