Business Managers Are Often Overly Confident of Their Own Hiring

question 190

Multiple Choice

Business managers are often overly confident of their own hiring ability because they are more likely to monitor the successes of people they hired than the achievements of those they rejected.This illustrates that overconfidence may be facilitated by

• A) an algorithm.
• B) prototypes.
• C) the framing effect.
• D) confirmation bias.

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Definitions:

Price Inelastic

A situation where the demand or supply for a product does not change significantly when its price changes.

Good X

A placeholder term used in economics to represent a specific product or commodity in theoretical discussions.

Midpoint Method

A technique used in economics to calculate the elasticity of demand or supply by using the midpoint between two points on a curve instead of relying on the initial or final point alone.

Price Elasticity

An indicator of the degree to which the demand for a product reacts to shifts in its price, showing how susceptible demand is to price fluctuations.