Final answer:
Decision makers who accept options with high expected value but low probability are known as risk takers. This concept is tied to probability and decision-making processes where potential risks and benefits are weighed such as in economic and military strategies.
Step-by-step explanation:
Decision makers who accept a bonanza (high expected value) that has a very low probability of occurrence are known as risk takers. This type of decision-making behavior is part of the study of probability and is often described in the context of economic decisions or gambling scenarios. According to Prospect Theory by Kahneman and Tversky, individuals weigh the potential outcomes and their respective probabilities before making choices under risk.
For example, in geopolitical strategy or military planning, decisions are made based on the perceived benefits and costs, and sometimes, despite the low probability of a favorable outcome, decision makers might still proceed, especially if the expected return is very significant. This can often involve accepting the possibility of an event that, while unlikely, would yield a substantial gain if it were to occur. Such behavior aligns with the definition of a risk taker.