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A child is a witness to a car accident. When he testifies in court, he states that a particular car ran a red light and caused the accident. Though the child actually believes this is what happened, this memory is inaccurate and has been created by his exposure to the repeated questioning of attorneys who have suggested that this is what happened.
This example best demonstrates the problems associated with:
Fallacy of Composition
The erroneous belief that what is true for an individual or part will also be true for a group or the whole.
Income
Money received by a person or household over a certain period of time from work, investments, business ventures, or other sources.
Fallacy of Composition
The erroneous belief or argument that what is true for a part is necessarily true for the whole group or entity.
Economic Relationships
The interactions between different variables within the economy, such as supply and demand, and price and quantity.
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