Stephon Knows Someone Whose Brother Received a Very Lucrative Contract

question 60

Multiple Choice

Stephon knows someone whose brother received a very lucrative contract to play professional basketball for the National Basketball Association (NBA) .With this success story in mind,he ignores the statistics that indicate a very low probability that anyone will make it to the NBA and overestimates his own chances of making it.This scenario best illustrates

• A)the covariation principle.
• B)the base-rate fallacy.
• C)non-correspondent inferences.
• D)the actor-observer effect.

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Definitions:

Net Worth

The total value of an individual's or entity's assets minus liabilities, indicating financial health or position.

Stewardship

The responsible overseeing and protection of something considered worth caring for and preserving, often related to environmental and natural resources.

Technological-Economic Growth

The expansion of economic activity and advancements in society driven by technological innovation and increased production efficiency.

Market-Based Competition

The rivalry among businesses to attract customers and achieve higher sales and profits within a market economy.