Claude and Marie Are Excited Because They Have Just Bought

question 114

Multiple Choice

Claude and Marie are excited because they have just bought a restaurant from the previous owners.The two partners know that the last seven restaurants that have been operated at that location have gone bankrupt within a year of their openings,but Claude and Marie are certain their restaurant will be successful because they plan on working hard.In this case,the two new business partners are

• A) showing belief perseverance.
• B) showing evidence of the gambler's fallacy.
• C) showing the confirmation bias.
• D) apparently ignoring base rates.