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Natasha2012 [34]
3 years ago
9

Which factor may lead to rash, uninformed decisions over a particular investment?

English
1 answer:
zhenek [66]3 years ago
6 0

Answer:

Media coverage

Explanation:

An information source can be defined as a system or medium through which informations, knowledge and ideas may be gotten and used by an individual. An information source can either be a primary or secondary source of information. The source options for informations are television, radio, web, newspapers, journals, magazines etc.

The four criteria used to evaluate source options are;

1. Accuracy: the user of this source of information should check if the data presented are accurate and credible. At this point, you should ensure that the informations provided are well researched and cited for verification.

2. Authority: you should endeavor to know who the author and publisher of the information source is. Also, it is important to know their qualifications.

3. Currency: it is necessary to know when the information source was created or produced by the author. Also, the user of this data should verify when it was published (in the case of a book) or if it requires an update (in the case of a website). Hence, the information source should be timely.

4. Objectivity: ensure that the source of information is unbiased, reliable, and should not only contain opinions but facts.

In conclusion, any source option that meets or satisfies the aforementioned criteria is credible, factual and reliable for use in the decision-making process such as when investing in securities, stocks, physical assets and other investments.

When an investor relies on media coverage to decide on whether to invest in a particular business or product, it is most likely to lead loss or other forms of problems because the media is prone to fake or unverifiable claims.

Hence, a factor that is likely to lead to rash, uninformed decisions over a particular investment is media coverage such as social network sites.

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