Questions: All of the following are examples of pure risk EXCEPT
Losing money at a casino
Injured while playing football
Falling at a casino and breaking a hip
Jewelry stolen during a home robbery
Transcript text: All of the following are examples of pure risk EXCEPT
Losing money at a casino
Injured while playing football
Falling at a casino and breaking a hip
Jewelry stolen during a home robbery
Solution
The answer is the first one: Losing money at a casino.
Explanation for each option:
Losing money at a casino: This is not an example of pure risk. Pure risk involves situations that can only result in a loss or no change, but not a gain. Gambling at a casino involves speculative risk, where there is a chance of either losing money or winning money.
Injured while playing football: This is an example of pure risk. The outcome is either you get injured (a loss) or you don't get injured (no change).
Falling at a casino and breaking a hip: This is also an example of pure risk. The outcome is either you fall and break a hip (a loss) or you don't fall (no change).
Jewelry stolen during a home robbery: This is another example of pure risk. The outcome is either your jewelry gets stolen (a loss) or it doesn't get stolen (no change).
Summary:
Losing money at a casino is not an example of pure risk because it involves speculative risk, where there is a potential for both loss and gain. The other options are examples of pure risk, where the outcomes are limited to either a loss or no change.