Multiple Choice
Jill is offered a choice between receiving $50 with certainty or the proceeds from a gamble.In the gamble a fair coin is tossed and if it comes up heads Jill will receive $100,if the coin comes up tails she will receive nothing.Jill chooses the $50 instead of the gamble.Jill's behavior indicates __________________.
A) regret avoidance
B) overconfidence
C) that she has a diminishing marginal utility of wealth
D) prospect theory loss aversion
Correct Answer:
Verified
Correct Answer:
Verified
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