Examlex
What commands our attention as we shop for groceries each week is the environment around us,such as the number of people in front of us at the checkout counter.Yet,when we watch another person's behavior at the grocery store,he or she,rather than the environment,occupies the center of our attention.As a result,we tend to engage in the attribution error.That is,we are irritable because the lines are long,but the other person is cantankerous because he or she is an unhappy person.Which of the following best explains this use of the fundamental attribution error?
Moral Hazard
A situation where one party is more likely to take risks because they know the negative consequences will be borne by another party.
Asymmetric Information
A situation where one party in a transaction has more or better information than the other, leading to an imbalance of power and potentially inefficient market outcomes.
Asymmetric Information
A situation in which one party in a transaction has more or superior information compared to the other party.
Huntington's Disease
A genetic neurological disorder causing the progressive breakdown of nerve cells in the brain, leading to deterioration in physical and mental abilities.
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