A Principles of Microeconomics Professor Wants to Know How Much

question 179

Multiple Choice

A Principles of Microeconomics professor wants to know how much prior knowledge her students have before beginning the class so she gives them a pre-test. This action is an example of

• A)signaling.
• B)screening.
• C)adverse selection.
• D)moral hazard.

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Definitions:

Cognitive Psychologist

A professional who studies mental processes such as "attention, language use, memory, perception, problem-solving, creativity, and thinking."

Information Processing

Describes the manner in which individuals encode, store, and retrieve information, based on theories comparing the mind to a computer.

Clinicians

Medical professionals who work directly with patients in diagnosing and treating illness, rather than conducting research or working on policy.

Psychology

The examination of human mental processes and their roles, especially in regards to how they determine behavior in certain environments.