Why Is the Concept of Base Rate Important in Decisions

question 24

Multiple Choice

Why is the concept of base rate important in decisions that involve the representativeness heuristic?

• A)People usually don't pay enough attention to base rate when making these decisions.
• B)People are so aware of information about base rate that they typically make accurate decisions.
• C)People rarely make the small-sample fallacy when making these decisions.
• D)When people have a background in statistics,they are much more likely to make correct decisions on tasks involving the representativeness heuristic.

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Definitions:

Social Loafing

A scenario where members of a team contribute less effort to reach a target than they would if working individually.

Task Attractiveness

The degree to which an individual is drawn to or motivated by a specific task, often influenced by the nature of the task itself and the individual's personal interests.

Normative Discontinuities

Breaks or interruptions in the normative expectations or behaviors within a society or group.

Symbolic Initiation Rites

Ceremonies or rituals marking the admission of an individual into a new role, status, or community, often containing symbolic elements indicating transformation.