Prospect theory argues that when people make decisions, they do so by examining options relative to:

Name: Prospect theory argues that when people make decisions, they do so by examining options relative to:
Brand: Quizplus
Rating: 5.0 (64 reviews)

Question

Quizplus · Accepted Answer

Prospect theory, developed by Daniel Kahneman and Amos Tversky, suggests that people make decisions based on the potential value of losses and gains rather than the final outcome, and these decisions are evaluated relative to a personal reference point.

Prospect Theory Argues That When People Make Decisions, They Do