Final answer:
The statement is true as small increments in a high absolute risk can lead to significant relative increases, evident in fields such as health and finance. This is also reflected in statistical laws like the law of large numbers, where in large samples small probability changes impact the overall results.
Step-by-step explanation:
The statement "With an absolute risk that is large, small increases can have a greater impact." is true. When an absolute risk is already high, even marginal increases can significantly affect the overall risk. For instance, if we consider health risks associated with a certain behavior or exposure, a relatively small increase in absolute terms can translate into a substantial percentage increase in the risk of adverse health events.
This principle is also applicable in various other fields, such as finance, where a high-risk investment can become even riskier with slight changes in market conditions. Similarly, in large sample sizes addressed by the law of large numbers, minor fluctuations in probability can have more pronounced effects on the overall outcomes as the sample size grows.