Final answer:
An individual will view a valuable finding as a potential gain and an incentive, aligning with behavioral economic principles like loss aversion. The correct answer is b. Potential gain, incentive.
Step-by-step explanation:
When an individual finds something valuable, he/she will see it as a potential gain, incentive. This is because finding something of value represents a beneficial outcome to the individual, which increases the likelihood of pursuing certain behaviors to obtain or retain that value, acting as an incentive.
Moreover, the concept of loss aversion, as investigated by behavioral economists Daniel Kahneman and Amos Tversky, demonstrates that individuals tend to value the prevention of losses more than the acquisition of equivalent gains due to the stronger emotional impact of losses.
According to behavioral economists, when an individual finds something valuable, they will see it as a potential gain and incentive, rather than a potential loss or inhibitor.
This is because humans tend to focus more on the gain rather than the loss, a phenomenon known as loss aversion. This insight has implications for investing, as people tend to react more to losses than to gains in the stock market.