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Assignment
1. Lately, the stock market has experienced unprecedented volatility - wild ups and downs. Discuss how stock trading has created a lot of this volatility and the decisions for stock traders to buy and sell wildly in terms of hyperbolic discounting.
2. Discuss a recent decision that you made (purchase an automobile or home, change jobs, etc.). How did motivation and emotions influence your decision? Did you experience any internal conflict (a battle between what you wanted versus what you should do)? How did you resolve this conflict?
3. Recently, a number of major banks have rejected federal bailout money citing that they did not like the rules that the government placed on them if they took the cash infusion. Research these decisions and report your findings. Discuss how self-serving reasoning could play a part in these decisions?
4. The news has been full of stories lately about the stock market problems, sub-prime mortgages, and ponzi schemes. All of these required people to make decisions. Research one of the stories and discuss how motivation influenced people to make such terrible decisions. Had exponential discounting played a part in the decision(s) that you had researched. If so, how?
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