The short answer question is about framings (5 points in total).

Part - a:

Framing 1: Choose between:

Option A. a sure gain of $350.

Option B. 35% chance to gain $1000 and 65% chance to gain nothing.

Prediction: Which option will most people choose? (You just need to write down A or B. You do not need to explain why. 1 point)

Part - b:

Framing 2: Choose between:

Option C. a sure loss of $650

Option D. 65% chance to lose $1000 and 35% chance to lose nothing.

Prediction: Which option will most people choose? ( You just need to write down C or D. You do not need to explain why. 1 point)

Part - c: Which framing (framing 1 vs. framing 2) is an example of gain framing? (You just need to choose betweeen framing 1 vs. framing 2. You do not need to explain why. 1.5 points)

Part - d:

In which framing (framing 1 vs. framing 2) are people risk-seeking? (You just need to choose betweeen framing 1 vs. framing 2. You do not need to explain why. 1.5 points)

Please make sure that you answer all the four parts (i.e., a, b, c, d) in the following.