Decision Making Factors

What are the risks & consequences?

• What you stand to gain from decisions

• What outcomes come from decision

• What you stand to win or lose from decisions

What is spontaneity?

• Choosing the option that might achieve the best result, regardless of the risk involved.

• Choosing the first option that comes to mind; giving little or no consideration to the consequences of the choice.

• Choosing the option that has a good chance to succeed and which you like the best.

What does the agonizing strategy refer to?

• Choosing the first option that comes to mind; giving little or no consideration to the consequences of the choice.

• Going along with family, school, work, or peer expectations.

• Accumulating so much information that analyzing the options becomes overwhelming.

What does the security strategy refer to?

• Choosing the option that will bring some success, offend the fewest people, and pose the least risk.

• Accumulating so much information that analyzing the options becomes overwhelming.

• Choosing the option that might achieve the best result, regardless of the risk involved.

What are some economic factors that influence your decision-making?

• consumer prices, Risks and consequences, interest rates

• consumer prices, unemployment, interest rates

• consumer prices,agonizing , interest rates

What are interest rates?

• changes in the buying power of the dollar, inflation

• the number of new homes being built

• the cost of borrowing money

the number of people (a)   employment who are willing to work

(a)   total value of goods and services produced within the country

What does a personal risk refer to?

• rising prices cause lower buying power. Buying an item later may mean a higher price.

• factors that may create a less than desirable situation. Personal risk may be in the form of inconvenience, embarrassment, safety, or

  health concerns.

• changing interest rates affect your costs (when borrowing) and your benefits (when saving or investing).

(a)   rising prices cause lower buying power.