According to the Availability Heuristic, We Often Base Our Probability

question 488

Multiple Choice

According to the availability heuristic, we often base our probability decisions on

• A)how well something fits a prototype
• B)our tendency to want to prove rather than disprove hypotheses
• C)our tendency to continue using old solutions to problems even though other solutions are more efficient
• D)how easy it is for us to call something up from memory

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Definitions:

Stackelberg Model

A strategic game in economics where one firm, the leader, sets its output level first, and then the follower firms set their output levels, taking the leader's output as given.

Oligopoly Model

An economic model that describes a market structure in which a few firms dominate the industry and have the ability to influence prices and market outcomes.

Competitive Market

A market structure in which many firms offer products or services that are similar, leading to high levels of competition.

Remarkable Healing

Significant or extraordinary recovery from illness or injury.