Which of the Following Is NOT an Example of the Anchoring

question 11

Multiple Choice

Which of the following is NOT an example of the anchoring effect (i.e., choices are affected by spurious information) ?

• A) The French and British governments completed construction of the Concorde because they had so much money tied up in research and development that would have been wasted if the project were cancelled.
• B) People are reluctant to sell stock they have received as a gift even if they would not have chosen to purchase the stock.
• C) Investors purchase shares of a stock on plausible rumors of increased future earnings.
• D) Investors liquidate common stock and hold cash because they fear that the stock market will fall because the American League won the World Series.
• E) a. and c. are correct.

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Definitions:

Box Plots

A graphical representation using quartiles that displays the distribution of data and identifies outliers.

ANOVA

ANOVA (Analysis of Variance) is a statistical method used to compare means of three or more samples, assessing whether at least one of the means is significantly different from the others.

Electrical Engineer

A professional who designs, develops, and tests electrical devices and systems, including electronics and power generation equipment.

Resistance

In an electrical context, it's the opposition to the flow of electric current; in a broader sense, it could refer to the capacity to withstand something or to not be affected.