In General,the ____________ the Misclassification Rate,the Lower the ____________

question 14

Multiple Choice

In general,the ____________ the misclassification rate,the lower the ____________.

• A) lower; test's utility
• B) lower; base rate
• C) higher; test's utility
• D) higher; base rate

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Definitions:

Status Quo

The existing state of affairs; in prospect theory, the current situation from which gains and losses are calculated.

Utility

A measure of satisfaction or value that consumers receive from consuming goods and services.

Endowment Effect

The tendency people have to place higher valuations on items they possess (are endowed with) than on identical items that they do not possess; perhaps caused by loss aversion.

Behavioral Economists

Economists who study how psychological, social, cognitive, and emotional factors affect the economic decisions of individuals and institutions.