During His Project Presentation, Bob Falls Sick and Performs Poorly

question 74

Multiple Choice

During his project presentation, Bob falls sick and performs poorly. However, his colleague, Dan, concludes that Bob is timid and lacks confidence. Dan's tendency to ignore Bob's sickness and focus on his traits as a reason for his poor performance exemplifies

• A) false consensus bias.
• B) misinformation effect.
• C) fundamental attribution error.
• D) dispositional bias.

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Definitions:

Disposable Income

Refers to the funds that individuals can spend or save after all income taxes are deducted.

Total Consumption

The aggregate amount of goods and services consumed in an economy, including individual and governmental consumption.

Saving

The portion of income not spent on current expenditures or taxes, often put aside for future use or investment.

Induced Consumption

Consumer spending that varies with income levels; as income rises, consumption increases, and as income falls, consumption decreases.