The Availability Bias Is an Example of a Heuristic

question 11

True/False

The availability bias is an example of a heuristic.

---

Definitions:

IPO Pops

The phenomenon where the price of a stock rises significantly above its initial public offering price shortly after it starts trading on the public market.

Secondary Market

This is a market where investors buy and sell securities they already own, as opposed to the primary market where securities are first issued.

Retail Investors

Individual investors who buy and sell securities for their personal accounts, not for another company or organization.

Road Show

A series of presentations by the management of a company looking to issue securities to potential investors, typically conducted across various cities.