Which of the following is a potential example of the risky shift?
A)A manager quit her secure job in a large company to start her own business even though she had to mortgage her house.
B)Steve decided to take an elective course in statistics even though he wasn't very good at quantitative subjects.
C)A drug company put a new drug on the market even though it was possible that the drug would provoke bad side effects.
D)Three partners were uncertain about expanding their business.After discussing the matter, they decided to expand even though the economy was bad.
E)The board of directors voted to proceed with the expansion even though it would cost $10 million more than originally planned.

Question

Quizplus · Accepted Answer

The risky shift phenomenon occurs when a group collectively decides on a course of action that is riskier than what individual members would have decided on their own. Option D illustrates this by showing how three partners, after discussion, decide to take a riskier step of expanding their business despite economic uncertainties.

Which of the Following Is a Potential Example of the Risky