To Protect Your Information and Greatly Reduce Your Exposure to Fraud

question 12

Multiple Choice

To protect your information and greatly reduce your exposure to fraud and identity theft, you need to take ___________ actions.

• A) behavioral
• B) computer-based
• C) both behavioral and computer-based
• D) neither behavioral or computer-based since IT should manage these issues

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Definitions:

Anchoring Effect

A cognitive bias where an individual relies too heavily on an initial piece of information (the "anchor") when making decisions.

Hedonic Treadmill

A theory suggesting that people continually seek new levels of stimulation or material goods to maintain happiness, but generally return to a stable level of happiness despite major positive or negative changes.

Prospect Theory

Prospect theory is a behavioral economic theory that describes how people choose between probabilistic alternatives that involve risk, where the probabilities of outcomes are known.

Neoclassical Economics

An economic theory that focuses on how consumer demand and production costs influence price, output, and income distribution in markets.