An assessment (e.g., of an investment opportunity) based in part on the actions of others, which in turn were based on the actions of others, is:

A) the process of acquiring full information.
B) an informational cascade.
C) a portfolio assessment.
D) a prospectus.

Informational Cascade

A process in decision-making where individuals consecutively follow others' actions or choices ignoring their own private information.

Investment Opportunity

A chance to invest capital with the expectation of achieving a future financial return.

Full Information

A market condition where all participants have access to all relevant information, eliminating information asymmetry.