Loss Avoidance Research Articles

Reconciling psychological and neuroscientific accounts of reduced motivation in aging.

Motivation is a hallmark of healthy aging, but the motivation to engage in effortful behavior diminishes with increasing age. Most neurobiological accounts of altered motivation in older adults assume that these deficits are caused by a gradual decline in brain tissue, while some psychological theories posit a switch from gain orientation to loss avoidance in motivational goals. Here, we contribute to reconcile the psychological and neural perspectives by providing evidence that the frontopolar cortex (FPC), a brain region involved in cost–benefit weighting, increasingly underpins effort avoidance rather than engagement with age. Using anodal transcranial direct current stimulation together with effort–reward trade-offs, we find that the FPC’s function in effort-based decisions remains focused on cost–benefit calculations but appears to switch from reward-seeking to cost avoidance with increasing age. This is further evidenced by the exploratory, independent analysis of structural brain changes, showing that the relationship between the density of the frontopolar neural tissue and the willingness to exert effort differs in young vs older adults. Our results inform aging-related models of decision-making by providing preliminary evidence that, in addition to cortical thinning, changes in goal orientation need to be considered in order to understand alterations in decision-making over the life span.

RETRACTED ARTICLE: Image detection of mountain soil loss and human avoidance trajectory based on cloud computing and machine learning

RETRACTED ARTICLE: Image detection of mountain soil loss and human avoidance trajectory based on cloud computing and machine learning

The relationship of bovine milk somatic cell count to neutrophil level in samples of cow's milk assessed by an automatic cell counter.

This research communication describes the application of a fluorescent automatic cell counter Lactoscan SCC for simultaneous determination of somatic cell count and neutrophils in bovine milk. The obtained results were compared with results obtained by a flow cytometer and a light microscope. The Pearson correlations between the methods were calculated. A comparison between the main characteristics of the three kinds of analysis was made - the assay duration and the intra-assay precision. A relation between the SCC and neutrophil cells was observed in 55 milk samples. The obtained results confirm that the simultaneous determination of SCC and neutrophil analysis are necessary and support the early diagnosis of mastitis, the timely treatment of the animal and the avoidance of major economic losses.

Avoiding monetary loss: A human habenula functional MRI ultra-high field study

A number of convergent human neuroimaging and animal studies suggest that habenula neurons fire in anticipation of non-rewarding outcomes, and suppress their firing in anticipation of rewarding outcomes. This normative function of the habenula appears disrupted in depression, and may be critical to the anti-depressant effects of ketamine. However, studying habenula functionality in humans using standard 3 T MRI is inherently limited by its small size. We employed ultra-high field (7 T) fMRI to investigate habenular activity in eighteen healthy volunteers during a Monetary Incentive Delay Task, focussing on loss avoidance, monetary loss and neutral events. We assessed neural activation in the field of view (FOV) in addition to ROI-based habenula-specific activity and generalized task-dependent functional connectivity. Whole FOV results indicated substantial neural differences between monetary loss and neutral outcomes, as well as between loss avoidance and neutral outcomes. Habenula-specific analyses showed bilateral deactivation during loss avoidance, compared to other outcomes. This first investigation into the habenula's role during loss avoidance revealed that the left habenula further differentiated between loss avoidance and monetary loss. Functional connectivity between the right habenula and the ipsilateral hippocampus and subcallosal cingulate (regions implicated in memory and depression pathophysiology) was enhanced when anticipating potential losses compared to anticipating neutral outcomes. Our findings suggest that the human habenula responds most strongly to outcomes of loss avoidance when compared to neutral and monetary losses, suggesting a role for the habenula in both reward and aversive processing. This has critical relevance to understanding the pathophysiology of habenula function in mood and other neuropsychiatric disorders, as well as the mechanism of action of habenula-targeting antidepressants such as ketamine.

Choice Preferences in the Process of Making Regulatory Decisions under Risk and Uncertainty Conditions: An Experimental Study

Purpose: This paper aims to identify preferences in regulatory decision-making under conditions of risk and uncertainty. Design/Methodology/Approach: Research using the experimental method was conducted among top-management of the regulatory authority in Poland, Office of Electronic Communications (OEC) and telecommunications National Regulatory Authorities in UE -members of Body of European Regulators for Electronic Communications. Findings: The findings suggest the occurrence of a certainty effect, loss avoidance effect, reflection, ambiguity aversion effect, and the status quo effect, all of which are psychological determinants shaping the preferences of regulatory decision selection under conditions of risk and uncertainty. The preferences under conditions of risk and uncertainty vary depending on the decision-making situation. There is no clear link between declared and actual risk preferences expressed by the OEC top management in decision-making situations. Risk preferences top-management OEC and BEREC are converging. Practical Implications: There is a need to shape the architecture of choice for public decision-makers in a decision-making situation in conditions of risk and uncertainty that take into account their cognitive tendencies. Originality/Value: The findings presented in the article contribute to the discussion on regulators’ cognitive tendencies in determining regulatory decision preferences under conditions of risk and uncertainty. An experimental research approach can explain the cognitive tendencies of public decision-makers.

Reduced motivation to work for financial reward associated with harmful alcohol use in a community sample of young adults

AimsNeuroimaging research suggests that alcohol dependency is associated with impairments in anticipating monetary rewards, but not aversive or alcohol-related cues.We sought to investigate if reinforcement sensitivity is altered in young adults, who regularly consume harmful levels of alcohol, using a monetary incentive reinforcement (MIR) task. In light of previous research suggesting reduced motivation to obtain reward, we hypothesized that young alcohol users would show reduced motivation for monetary gain, but unimpaired loss avoidance behaviour.MethodWe recruited 46 volunteers from the local community in Cambridge (UK), half of whom reported consuming alcohol at harmful levels, as reflected by the Alcohol Use Disorder Test. Participants completed a number of personality questionnaires, including the Barratt Impulsivity Scale (BIS-11) and Sensation-Seeking-Scale (SSS-V) and performed the MIR task, which measures participants’ efforts in avoiding punishment and gaining rewards. Data were analysed using Statistical Package for Social Sciences (SPSS) version 25 (IBM, Chicago IL). Analysis of co-variance (ANOVA) were used to explore group differences in demographics, personality traits and task performance; age and gender were included as co-variates.ResultThe groups were well-matched in terms of socioeconomic status and education levels. As the alcohol group was significantly younger than the control group and dominated by females, age and gender were statistically controlled for. Alcohol users reported significantly higher levels of impulsivity (F1,41 = 6.0, p = 0.019) and sensation-seeking traits (F1,42 = 36.7, p < 0.001) and demonstrated normal sensitivity to monetary value (F1,41 = 1.07,p = 0.307). However, when challenged to on the MIR task to gain reward or avoid punishment, alcohol users were as equally motivated as control volunteers to take action to avoid financial loss (F1,41 = 2.6,p = 0.112) but showed less motivation to work towards financial reward (F1,41 = 4.7,p = 0.036). Especially for small rewards, alcohol users exerted significantly less efforts, as reflected by a reduced accuracy rate (F1,41 = 6.6,p = 0.014) and a significant increase in late responses (F1,41 = 7.7,p = 0.008). The lack of motivation to work for reward was negatively associated with the severity of alcohol use, as reflected by the AUDIT score (r=−.48,p < 0-05).ConclusionWe observed reduced motivation to obtain financial reward, but not avoid loss in a community sample of heavy drinkers. As the observed effect was directly related to alcohol use severity, it may suggest changes in reinforcement sensitivity occur at an early stage of chronic alcohol use. Future research may want to monitor reward motivation in alcohol users longitudinally to evaluate whether it would be a suitable target for early intervention.

Applying regulatory fit theory and cultural values orientation to predict effectiveness of public service advertising appeals

While there is support for regulatory fit theory in predicting the communication effectiveness of promotion-framed and prevention-framed messages in advertisements, it is not certain if the theory can be extended to predict the effectiveness of promotion-oriented and prevention-oriented advertising appeals. This study examines the interplay of regulatory focus as well as the endorsement of collectivism and individualism among adolescents in predicting the perceived effectiveness of promotion-oriented and prevention-oriented public service advertising appeals. Data was collected from a convenience sample of 407 Chinese secondary school students aged 12 to 19 in Hong Kong. Results support the regulatory fit theory. Among the respondents, vertical collectivism was not a significant predictor for the perceived effectiveness of either promotion- or prevention-oriented appeals. Horizontal individualism was a significant predictor for the perceived effectiveness of the loss avoidance PSA appeal. Respondents’ horizontal collectivism scores were positive predictors for the perceived effectiveness of both promotion and prevention-oriented appeals.

Perish or prosper: Trade patterns for highly perishable seafood products

AbstractIn recent years trade with highly perishable agricultural products like fresh fish, berries, and cut flowers has increased substantially. The perishability of these products appears to challenge conventional wisdom when it comes to food trade, which emphasizes the importance of large shipments to reduce transportation costs. In this paper, gravity models and several margins of trade are estimated for the trade with fresh salmon, a highly perishable product. The results indicate that increased geographical distance have a larger negative effect than what is generally reported in the literature. Most interestingly, the number of exporters and the shipment frequency increase while there is little impact on shipment size when trade increase. Hence, freshness and possibly avoidance of losses by not selling products by the expiration date seem to be emphasized rather than economies of scale in transportation. [EconLit Citations: F14, Q22].

Economic impacts of storm surge events: examining state and national ripple effects

Understanding socioeconomic consequences of natural disasters both locally and nationally is critical in assessing and informing mitigation strategies to combat future catastrophic threats. We develop a state-level computable general equilibrium model and assess the vulnerability of state and US national economies to surge events affecting coastal communities and strategic industrial assets including petroleum and chemical manufacturing in the south-eastern region of Texas. In addition to enumerating these impacts, our model also assesses loss avoidance associated with one kind of adaptation strategy, a storm surge suppression system, that has been proposed for the region to address growing concerns over storm surge inundation. Our results indicate persistent and adverse long-term impacts of storm surge events on the economies of Texas and the USA without the surge suppression system. Importantly, while neighboring states may temporarily benefit from substitution effects and reallocation of resources, the majority of states will suffer welfare losses as a result of surge-induced impacts in Texas. Adjusting impacts by storms’ return probabilities, the average annualized decline in Texas Gross State Product is approximately 0.05% in 2066, corresponding to $5 billion, while welfare and personal income will decline by 0.05% and 0.04%, respectively. Model simulations with the storm suppression system indicate moderation in negative impacts. Our research provides a modeling framework for assessing economic impacts of disasters and further contributes to estimating ripple effects on national and regional economies.

Over Confidence, Mental Accounting, and Loss Aversion In Investment Decision

The psychology related to investment cannot be ignored by individuals who want to get investment returns. Investment decisions are the most important decisions in decision making. This investment decision is a policy carried out by investors to invest in one or more assets to get more profits in the future. Overconfidence investors prefer higher risk returns to be more important than those overestimated in terms of their knowledge and lower than expected. Mental accounting considers the costs and benefits of loss avoidance decisions made by investors to protect themselves against losses. This study discusses financial problems related to community investment decisions, special investments in real assets and financial assets. The data used are 250 respondents' data on Indonesian investors who invest in Indonesian capital markets. The results showed that overconfidence and mental accounting significantly affected investors' investment decisions in the Indonesian capital market.

The Values of Large (Particularly Large) Amounts of Income, Damage, Indebtedness for Economic Crimes

When formulating the objective side of economic crimes, the lawmakers often use such a result of deviant economic behavior as material damage, which could be large or particularly large; they also characterize the offence through the scale of actions or the amount of criminally acquired income (avoidance of losses) — its large (particularly large) amount. In general, this is a rational approach since the crimes are committed in the economic sphere, so their consequences and other features could and should be expressed through economic indicators. The problem for crimes under Chapter 22 of the Criminal Code of the Russian Federation consists in the fact that the number of legally defined variations in the understanding of large and particularly large amounts is constantly increasing and the difference between their minimum and the maximum levels is steadily growing. The article contains a detailed analysis of the contemporary condition of the problem of criteria for defining a large (particularly large) amount of income, damage, etc. for economic crimes. The author notes that there are 18 different variants for understanding a large amount of damage, income, or debt, and in 14 cases this large amount acts as the only indication of crime, i.e. the feature that makes it possible to criminalize the action. The same analysis is applied to the concept of a particularly large amount; Chapter 22 of the CC of the RF contains 12 variants of it. Such a wide range of values results in a number of negative consequences: the borders of criminalization for similar actions are defined differently, the limits of punishments included for them in the sanctions are established differently, different conditions for applying the norms of exemption from criminal liability for economic crimes are formed. The author analyses various ideas on changing approaches to defining the concepts of large (particularly large) amounts of income, damage, debt, and shows how these drawbacks in criminal legislation could be eliminated.

Dissociating brain systems that respond to contingency and valence during monetary loss avoidance in adolescence

Negative reinforcement processes allow individuals to avoid negative and/or harmful outcomes. They depend on the brain’s ability to differentiate; (i) contingency from non-contingency, separately from (ii) judgements about positive and negative valence. Thirty-three males (8–18 years) performed a cued reaction-time task during fMRI scanning to differentiate the brain’s responses to contingency and valence during loss avoidance. In two conditions, cues indicated no -contingency between participants’ responses and monetary loss – (1) CERTAIN LOSS (negative valence) of €0.20, €1 or €5 or (2) CERTAIN LOSS AVOIDANCE (positive valence). In a third condition, cues indicated a contingency between short reaction times and avoidance of monetary loss. As expected participants had shorter reaction times in this latter condition where CONDITIONAL LOSS AVOIDANCE cues activated salience and motor-response-preparation brain networks - independent of the relative valence of the contrast (CERTAIN LOSS or CERTAIN LOSS AVOIDANCE). Effects of valence were seen toward the session’s end where CERTAIN LOSS AVOIDANCE cues activated ventral striatum, medial-orbitofrontal cortex and medial-temporal areas more than CERTAIN LOSS. CONDITIONAL LOSS AVOIDANCE trials with feedback indicating “success” activated ventral striatum more than “failure feedback”. The findings support the hypothesis that brain networks controlling contingency and valence processes during negative reinforcement are dissociable.

In-Line Technologies for the Analysis of Important Milk Parameters during the Milking Process: A Review

Considering automatized and robotic milking systems substantially decreasing the contact between producers and the herd, milk analysis is crucial to maintain the quality and safety of all dairy products. These systems naturally also decrease the possibility of health problems and illness identification. Abnormalities in milk can be caused by several factors. Milk quality can be affected by external conditions, such as temperature and contamination in the feedstock; by management practices, such as hygiene, milking frequency, treatment, and feedstuff quality; and by diseases, genetics, or age. Somatic cell count, electric conductivity, and contents of urea, fat, protein, and lactose were reviewed as likely parameters of milk representing its quality with respect to feedback for consumers and breeders. Methods for evaluating milk constituents and parameters are still being developed to provide in-line information. These methods allow the avoidance of enormous economic losses every year caused by milk discard, health treatments, or cow replacements. In addition, individual and in-line milk analysis provides information in terms of nutritional status or lactation period and fertility. The objective of this study is to identify trends and potential methods focusing on in situ and in-line techniques for the analysis of milk parameters during the automatized and robotic milking process. Four methods are described and compared: near-infrared spectroscopy (NIRS) and mid-infrared spectroscopy (MIRS), optical analysis, milk conductivity analysis, and milk leukocyte differential test. The versatility and accessibility of these methods were also evaluated, showing a considerable range of possible related problems.

Limitations of portfolio diversification through fat tails of the return Distributions: Some empirical evidence

This study investigates the level of risk due to fat tails of the return distribution and the changes of tail fatness (TF) through portfolio diversification. TF is not eliminated through portfolio diversification, and, interestingly, the positive tail has declining fatness until a certain level is reached, while the negative tail has rising fatness. This indicates that fat tails are highly relevant to common factors on systematic risk and that the relevance of common factors is higher for the negative tail compared to the positive tail. In the portfolio diversification effect, the declining fatness of the positive tail further reduces risk, but the rising fatness of the negative tail does not contribute to this effect. The asymmetry between the fatness of the positive and negative tails in the return distribution corresponds to the asymmetry of the trade-off relationship between loss avoidance and profit sacrifice that is expected as a consequence of portfolio diversification. Investors use portfolio diversification to reduce their risk of suffering high losses, but following this strategy means sacrificing high-profit potential. Our study provides empirical confirmation for the practical limitation of portfolio diversification and explains why investors with diversified portfolios suffer high losses from market crashes. An examination of the Northeast Asian stock markets of China, Japan, Korea, and Taiwan show identical results.

Kinked Accounting? Loss Avoidance in Europe and (Not) the US

Prior literature shows that the zero earnings discontinuity, which illustrates earnings management to avoid small losses, has disappeared in the United States. We examine whether a similar development has occurred in the European Union and find that this is not the case: the discontinuity in Europe is still pronounced and has remained remarkably stable. We hypothesize that the tendency to avoid small losses of close to zero constitutes only one facet of a more general tendency to reduce reported losses in years with negative cash flows, which would result in a less timely recognition of losses than expected under conditional conservatism as embodied in accounting standards. For the United States, we find that loss avoidance in this broader sense follows a similar developmental pattern over time as that of the zero earnings discontinuity. For the last two decades, losses have been recognized in a timelier manner than gains, which is consistent with conditional conservatism. In Europe, in contrast, the asymmetric timeliness of loss recognition is consistently reversed, which suggests that conditional conservatism is overcompensated by earnings management to reduce reported losses. We conclude that the adoption of International Financial Reporting Standards has not resulted in a decline in loss avoidance behavior in the European Union.

Tourism industry: problems and prospects of recovery and renewal of hotel business after the coronavirus pandemic

The article substantiates the directions of solving the problems of hotel service in order to restore the tourism industry, which has suffered from government measures of all countries to limit the spread of coronavirus. The purpose of this study is to identify the main tasks and areas of hotel business to ensure the stability of service quality in the tourism industry, the orientation of hotel managers to create conditions for continuous improvement of the enterprise, putting forward the interests of production for the benefit of employees. To succeed in the hotel business, managers need to work in different directions on different issues. The top 20 problem tasks of hotel service that need to be solved and taken into account in the coming periods of recovery, including full compliance with COVID-19 safety rules, taking into account high competition, the right direction of marketing efforts, cost control and loss avoidance, training of qualified management and positional leaders, automation of services, Internet coverage and regular reviews and adjustment of their strategy in the context of coronavirus. Ukraine has great potential in the development of hotel services, requires the expansion of the hotel business infrastructure, the creation of facilities for staff training and retraining. The priority is to develop its own regulatory framework that would regulate the quality of services in this area. The quality management system of hotel services should guarantee the customer the satisfaction of his requests during the service in the hotel, at all stages and at all levels. Therefore, the problem of development and practical application of internal standards of enterprises, which determine the general components of the quality of hotel services and the development of the tourism industry as a whole, is of particular importance.

Evaluation of postharvest properties in different passion fruit species during ripening

During ripening, many transformations occur in passion fruits. The ripening stage affects fruit quality and post-harvest properties. Fruits with 65% yellow epidermis present chemical characteristics that meet industrial standards, facilitating harvest estimations and loss avoidance. Thus, this study aimed to evaluate the post-harvest properties of passion fruit species (genotypes of the yellow passion fruit and sweet passion fruit, and yellow passion fruit cultivar FB 200) during ripening. The fruits were evaluated by the color of the epidermis and the chemical characteristics of the pulp (titratable acidity, vitamin C, carotenoids, soluble solids content, and ratio). This experiment was conducted with a completely randomized design and a split-plot arrangement, where the plots were the species and the subplots were the evaluation periods (50, 58, 66, 74 and 82 days after anthesis), with four replications and 10 fruits per plot. The yellow passion fruit genotype and cultivar, harvested at 82 days after anthesis, presented desirable characteristics for the juice industry and for fresh consumption. The sweet passion fruit had a higher soluble solids content and titratable acidity ratio because of its high content of soluble solids and low acidity, which translate to a better fruit flavor.

A Review – Renewable energy based micro-cogeneration and hybrid energy systems

To reduce carbon and greenhouse gas emissions, the more efficient and environmentally friendly energy production in the building sector is required. The deployment of renewable energy based microcogeneration units in the decentralized hybrid energy systems is a part of the solution. The micro combined heat and power (micro-CHP), or co-generation, units produce simultaneously heat and electricity from a single fuel source at high efficiency and close to the consumption point. These units offer significant benefits: reduced primary energy consumption, reduced CO2 emissions, and avoidance of distribution losses due to central plant and network construction. The objective of this paper is to present a review of available renewable energy based micro-CHP systems and to focus on the biomass and solar based conversion devices. Finally, a novel hybrid renewable energy system is presented by coupling renewable energy sources, such as solar and biomass for micro-CHP.

Страховий менеджмент в умовах глобалізаційних процесів в Україні

Insurance represents the most efficient risk management instrument that can protect both individuals and business entities from financial risks arising from various unforeseen situations. In turn, expanding the horizons of the insurance market requires clarity and coherence in the activities of insurance companies, and therefore studying the factors that directly affect the management of insurance organizations appears relevant. It is found that one of the forms of risk control is insurance management, which includes the detection, assessment and intervention of risks, that is, a defense strategy for preparing for the unexpected events, as it is regulated by normative legal acts, and the implementation of principles and doctrines that are generally accepted. It is identified that the main methods of insurance management, such as avoidance, preservation, distribution, transfer, prevention and reduction of losses, can be applied to all areas of activity of both individuals and business entities, and can pay off in the long term. The development of the insurance market in Ukraine in the future is possible due to the introduction of an effective mechanism of insurance management based on system analysis and effective control at macro and micro levels. By implementing a risk management plan and considering various potential risks or events before they occur, economic entities can save their own money and protect their future by timely setting of certain contours in order to avoid potential threats, minimize their impact in case of their occurrence, and cope with the results.

Aggressive forward infinite dimensional entangled state pair with reputation based weighted hub selection to packet loss avoidance

Aggressive forward infinite dimensional entangled state pair with reputation based weighted hub selection to packet loss avoidance