Cognitive Biases in Decision-Making

What does the "frequency estimate" heuristic involve?

• Estimating the likelihood of an event based on how easily one can remember examples of it.

• Making judgments about the frequency of an event based on statistical data.

• Assessing the frequency of an event based on personal desire for the outcome.

• Calculating the frequency of an event using a complex algorithm.

What is "attribute substitution" in decision-making?

• Replacing a difficult to assess attribute with a more easily calculated one.

• Substituting personal attributes for professional ones in decision-making.

• Ignoring all attributes except one to simplify decision-making.

• Changing an attribute based on peer pressure.

How does the "availability heuristic" function according to the text?

• It operates by assessing the frequency of an event based on how easily examples come to mind.

• It functions by using statistical analysis to determine the likelihood of events.

• It works by ignoring less common events and focusing on more frequent ones.

• It calculates the probability of events based on past occurrences.

What assumption underlies the "representativeness heuristic"?

• That the instances of a category will generally resemble the prototype for that category.

• That each instance within a category is unique and distinct.

• That categories are not useful in making judgments.

• That prototypes are often misleading and should be avoided.

What is the primary benefit of using a heuristic as mentioned in the text?

• It allows for absolute accuracy in decision-making.

• It provides a method that is reasonably efficient most of the time.

• It ensures that decisions are made without any errors.

• It completely eliminates the need for any decision-making process.

What does the term "covariation" describe in statistics?

• A relationship where the increase in one variable predicts a decrease in another.

• A relationship where two variables have no predictable effect on each other.

• A relationship where the presence or magnitude of one variable predicts changes in another.

• A relationship where variables are completely independent.

What is "confirmation bias"?

• The tendency to ignore information that confirms one's beliefs.

• The tendency to seek and remember information that disconfirms one's beliefs.

• The tendency to favor information that confirms one's pre-existing beliefs.

• The tendency to change beliefs frequently based on new information.

What is primarily contrasted with "base-rate information"?

• Covariation information.

• Diagnostic information.

• Confirmation bias.

• Dual-process model.

Which model suggests that people have two distinct ways of making judgments?

• Covariation model.

• Confirmation bias model.

• Base-rate model.

• Dual-process model.

What is Type 1 thinking commonly used for in judgment and reasoning strategies?

• Strategies that are slow and require more effort

• Strategies that are fast and effortless, but prone to error

• Strategies that are always accurate

• Strategies that do not involve judgment