Kim and Abe Are Participating in a Psychology Experiment

Multiple Choice

Kim and Abe are participating in a psychology experiment. At the end of the study they are offered either $10 or a chance to be entered into a draw where there is a 10 percent chance of winning $100. Kim's parents are supporting her through university, paying her expenses and giving her a generous allowance. Abe is putting himself through school with jobs and loans. Prospect theory would predict that Kim will choose ____________ and Abe will choose ____________.

A) the draw; the $10
B) the draw; the draw
C) the $10; the $10
D) the $10; the draw