Which of the Following Statements Is True Regarding the Hindsight

question 2

Multiple Choice

Which of the following statements is true regarding the hindsight bias?

• A) It indicates a tendency to fixate on initial information and fail to adequately adjust for subsequent information.
• B) It indicates that we seek out information that reaffirms our past choices, and we discount information that contradicts them.
• C) It indicates our tendency to base judgments on information readily available.
• D) It indicates our tendency to believe falsely, after the outcome is known, that we would have accurately predicted it.
• E) It indicates our tendency to draw a general impression about an individual on the basis of a single characteristic, such as intelligence.

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Definitions:

VMPL

The value of the marginal product of labor, which is the additional value created from an increase in labor input.

Equilibrium Market Wage

The wage rate at which the quantity of labor supplied and the quantity of labor demanded are equal.

Bricklayers

Tradespeople who lay bricks, concrete blocks, and other types of masonry materials to construct or repair walls, partitions, and other structures.

Wage Rate

The pay a worker gets for each unit of time or output produced.