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An Investor Has Her Money Segregated into Checking, Savings, and Investments

Question 63

Multiple Choice

An investor has her money segregated into checking, savings, and investments. The allocation among the categories is subjective, yet the investor spends freely from the checking account and not the others. This behavior can be explained as ________.


A) loss aversion
B) mental accounting
C) overreaction
D) winner's curse

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