Research on the framing effect shows that decision makers are risk averse when they focus on and risk seeking when they focus on .
A)gams; gams
B)gains; losses
C)losses; gains
D)losses; losses
E)None of the above is correct.

Question

Quizplus · Accepted Answer

Research on the framing effect demonstrates that individuals tend to be risk-averse when they focus on potential gains and risk-seeking when they focus on potential losses. This is a fundamental principle in behavioral economics, illustrating how the presentation of information can influence decision-making.

Research on the Framing Effect Shows That Decision Makers Are