Jordan purchased 400 shares of GE at $16 per share. The price has dropped to $11 and he is disappointed in his purchase, but he is determined not to sell until the price again reaches $16. His decision is based on

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Jordan's decision is based on loss aversion, which is the tendency to prefer avoiding losses to acquiring equivalent gains. He doesn't want to sell his shares at a loss, so he's waiting for the price to return to his purchase price before selling.

Jordan Purchased 400 Shares of GE at $16 Per Share