Tim Tells You That the Best Way to Make Friends

question 14

Multiple Choice

Tim tells you that the best way to make friends is by opening the conversation with a joke. He can easily recall all the friends he met by telling a joke and also the times he opened with chitchat and didn't befriend the person. If you were concerned that Tim was making the blind spot bias, what would you ask him?

• A)What about the times you opened with a joke and didn't become friends with the person?
• B)Do you think the times you made friends by telling jokes might come more easily to mind?
• C)Have you tested this conclusion systematically?
• D)Did you go into conversations where you opened with jokes thinking that you would make friends?

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Definitions:

Technological Changes

Developments and innovations in technology that can affect economic and social outcomes.

Guaranteed Residual Value

The minimum value guaranteed by a lessor to a lessee regarding the asset's value at the end of the lease term.

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A contract between a service provider and a customer outlining the terms for the maintenance and repair of equipment over a specified period.

Implicit Lease Rate

The interest rate embedded in a lease agreement that equates the value of lease payments to the fair value of the leased asset.