Belief Persistence Involves a Tendency To

question 73

Multiple Choice

Belief persistence involves a tendency to:

• A)draw a general conclusion based on a small number of instances
• B)only see objects and their potential uses in typical ways
• C)maintain an opinion, even when confronted with disconfirming evidence
• D)ignore base-rate information when estimating the likelihood of uncertain events

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Definitions:

Excise Tax

A tax imposed on specific goods, services, or activities, such as tobacco, alcohol, and fuel, usually intended to discourage their use or generate revenue.

Demand and Supply

Economic model that determines the price of a good in a market, based on the desire and availability of the good.

Law of Demand

The Law of Demand states that, all else being equal, as the price of a good increases, the demand for that good decreases, and conversely, as the price decreases, demand for the good increases.

Price Ceiling

A government-imposed limit on how high a price can be charged for a product, service, or commodity, usually intended to protect consumers from excessive costs.