The Fallacy of Composition States That

question 116

Multiple Choice

The fallacy of composition states that

• A)because economic systems are composed of so many diverse economic units, economic laws are necessarily inexact.
• B)the anticipation of a particular event can affect the composition of that event when it occurs.
• C)what is true for the individual must necessarily be true for the group.
• D)because event A precedes event B, A is necessarily the cause of B.

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Definitions:

Algorithms

A set of rules or procedures for solving a problem in a finite number of steps, often used in computing and mathematical calculations.

Heuristics

Simple, efficient rules or strategies, often subconscious, used to make decisions and solve problems quickly, but not always accurately.

Availability Heuristic

An intellectual quick route based on the readily accessible examples in a person's thoughts during the appraisal of a specific subject, idea, technique, or judgment.

Lottery Tickets

Pre-purchased tickets for a lottery, a form of gambling where winners are selected by drawing of lots from among those who have paid money to participate.