Question

A survey conducted recently in China showed that in the last two years, investments in businesses increased by almost 75%. The same survey also concluded that people became wealthy by investing in businesses, and this motivated other people to invest more in their respective businesses. What most likely triggered this increase in investment?

Answer 1

A factor that comes into play may be classical conditioning. This is when people who have not yet experienced an event would feel like wanting to experience it because of the positive reviews of people who claim to have experienced it already. Seeing that these people became successful, they would more likely be motivated to do the same thing as well.

Answer 2

Incentives was most likely the triggering cause for the increase in investments. People saw that others were gaining profits by investing their money into different businesses and wanted the same type of profit structure for themselves. They figured if others could invest and make a profit, they could do. The incentive to earn more money was a driving force in the growth of investments in China.