If a Friend Tells You That He Is Certain a Stock

question 80

Essay

If a friend tells you that he is certain a stock price will rise based on information he heard on television or saw on the Internet, should you be skeptical? Explain.

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Definitions:

Denial

A defense mechanism where an individual refuses to accept reality or facts, often to avoid uncomfortable emotions or truths.

Projection

A psychological defense mechanism where an individual attributes their own unacceptable thoughts, feelings, or motives to someone else.

Intellectualization

A defense mechanism in which individuals approach emotionally charged issues with detachment and rationale, focusing on intellectual components rather than confronting the emotional aspect.

Repression

A defense mechanism where unpleasant thoughts, memories, or feelings are unconsciously excluded from conscious awareness.