21
practice examMultiple Choice

Practice Exam

Question 21 • Personal Finance

Taylor follows a trend without research. What bias is shown?

Answer
A
Diversification
B
Herd behavior
C
Inflation
D
Passive income

Explanation

Following a trend without doing independent research means copying what other people are doing. This is herd behavior, so the correct choice is “Herd behavior.”

AI-written and checked against the verified answer.

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