PROSPECT THEORY
\pɹˈɒspɛkt θˈi͡əɹi], \pɹˈɒspɛkt θˈiəɹi], \p_ɹ_ˈɒ_s_p_ɛ_k_t θ_ˈiə_ɹ_i]\
Sort: Oldest first
-
Developed in 1979 by Amos Tversky and Daniel Kahneman. Most individuals will make a decision that will lead to a gain rather than a loss. Risks are put into 2 categories depending whether the outcome is a loss or a gain. These 2 categories of risk are treated in different ways to get the required outcome.
By Henry Campbell Black
