Which one of these can be used as an argument that independent deviations from rationality are not generally random?
A)Conservatism
B)Stockholder disinterest
C)Arbitrage
D)Insider trading
E)Continuation

Question

Quizplus · Accepted Answer

Conservatism is a cognitive bias where individuals tend to overemphasize existing information and resist new information. This bias is not random, but rather a systematic deviation from rationality. Therefore, this can be used as an argument that independent deviations from rationality are not generally random.

Which One of These Can Be Used as an Argument