Research on the Planning Fallacy Indicates That We Tend to ____

question 58

Multiple Choice

Research on the planning fallacy indicates that we tend to ____ when making predictions about ourselves and we tend to ____ when making predictions about other people.

• A)be overly optimistic; be overly optimistic also
• B)be overly optimistic; be realistic
• C)be overly optimistic; be overly pessimistic
• D)be realistic; be overly pessimistic

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Definitions:

Creativity

Creativity is the ability to produce original and valuable ideas or solutions by thinking beyond established norms.

Vision

A mental image of a possible and desirable future state of the organization.

Framing Error

A mistake that occurs when information is presented or perceived in a way that biases or distorts decision making.

Sunk Cost Bias

The decision to continue an investment based on past investments of time, effort, and/or money.