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Mutual funds A and B are both trading at $50. The manager for fund A predicts the fund will increase by 15%, while the manager for fund B indicates an expected price of $57.50. If an investor prefers fund A, he is making the behavioral mistake known as:
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a. Narrow framing. |
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b. Framing. |
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c. Anchoring. |
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d. Cognitive dissonance. |
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