This strategy, however, would be susceptible to preference reversals in the other direction. In the first case of maximizing the chance of payoff, the safe bet (H) would be favored over the longshot (L) and the pricing would also favor the safe bet (Ch) over the longshot (Cl) (i.e. Ch > Cl). Yet when any amount of money (X) is offered at a %100 probability, that option would be selected over both H and L. That is for Ch > X > Cl, X is preferred over H and X is preferred over L, leading to Ch > X > H, an overpricing of H. Subjects would accept less money than their given value of Ch, or even of Cl as long as that money was guaranteed. In the opposite situation where the potential payoff is the critical factor, L would be favored over H and Cl > Ch. But here, the buyout X would never be accepted beca

Some common words found in the essay are:
Slovic Kahneman, , Ch Cl, Cl Ch, preference reversal, critical factor, pricing condition, ch >, choice pricing, ch > >, > >, chance payoff, amount money, safe bet, maximizing chance payoff, potential payoff,
Approximate Word count = 546
Approximate Pages = 2 (250 words per page double spaced)