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Brock and Angie are in their 30s with two young children. They are each contributing to their 401(k)s for retirement, 529 plans for each of

Brock and Angie are in their 30s with two young children. They are each contributing to their 401(k)s for retirement, 529 plans for each of their children for college expenses, regularly contribute to a vacation club and Christmas club savings account at their credit union and set aside money each month to a money market fund for emergencies. This positive behavior is an example of _______________.

  • A. Ambiguity bias
  • B. Paradox of choice bias
  • C. Diversification bias
  • D. Mental accounting bias.

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