18. Behavioral finance (S12.5) True or false? a. Psychologists have found that once people have suffered a

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18. Behavioral finance (S12.5) True or false?

a. Psychologists have found that once people have suffered a loss, they are more relaxed about the possibility of incurring further losses.

b. Psychologists have observed that people tend to put too much weight on recent events when forecasting.

c. Behavioral biases open up the opportunity for easy arbitrage profits.

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Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

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