Henry's Dog, Sparky, Has Been Rolling in the Mud

question 70

Multiple Choice

Henry's dog, Sparky, has been rolling in the mud. Henry must bathe Sparky before the dog gets mud all over the carpet. However, Henry is unable to find the plug for the tub. Sitting on the counter right beside the tub is a fifty-cent piece. In his frustration, Henry fails to see that the coin could be used as an emergency plug for the tub. What happened to Henry

• A)He displayed heuristic processing.
• B)He fell prey to the confirmation bias.
• C)He suffered from functional fixedness.
• D)His thinking was counterfactual.

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Definitions:

Efficiency Argument

The principle that resources should be allocated in a way that maximizes the productivity or welfare of a community or economy.

Jobs Argument

A perspective or argument centered on the impacts of economic policies or business decisions on employment levels.

Infant-Industry

An economic rationale for trade protectionism arguing that new industries need to be shielded from international competition to allow them to grow and become competitive.

Infant-Industry Argument

The justification for protective tariffs to shield emerging domestic industries from international competition until they become competitive.