Gary Has a Beautiful House on the Beach in Vancouver

question 435

Multiple Choice

Gary has a beautiful house on the beach in Vancouver. When Gary drives to the office each morning he follows the coastline as he knows his office is directly south of his home and is also on the waterfront. He also uses the coast road to get to the dentist, the grocery store, and the post office. When his teenage son starts driving he immediately points out to Gary that he is driving an extra 6 miles a day when he takes the coast road to the post office. Gary missed the more efficient route due to his ______________.

• A)mental set
• B)inductive reasoning
• C)lack of framing the problem
• D)availability heuristic

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Definitions:

Economy

A framework for creating, distributing, and utilizing goods and services in a specific geographic region.

Economic Growth

A boost in the purchasing power adjusted market value of goods and services an economy creates over time.

Long Run

A period in economics sufficient for all markets to adjust, including production facilities and labor.

Capital

A resource, either financial or physical, that is employed with the aim of generating wealth through investment or production.