An Advantage of the Establishment Survey Over the Household Survey

question 38

Multiple Choice

An advantage of the establishment survey over the household survey of the labor market is that the establishment survey

• A)is based on actual payrolls,rather than on unverified answers.
• B)includes the number of self-employed persons.
• C)includes persons employed at newly opened firms.
• D)provides an estimate of the number of persons unemployed.

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Definitions:

Confirmation Bias

The inclination to seek out, understand, prefer, and remember details in a manner that validates one's existing opinions or theories.

Sunk Cost Effect

The phenomenon where a person continues an endeavor because of previously invested resources (time, money, or effort), despite potential losses.

Availability Heuristic

The availability heuristic is a mental shortcut that relies on immediate examples that come to mind when evaluating a specific topic, concept, method, or decision.

Confirmation Bias

Confirmation bias is the tendency to search for, interpret, favor, and recall information in a way that confirms one’s preexisting beliefs or hypotheses.