Social Science

Cognitive Biases and Decision Making

1,902 Questions

Explore a curated set of questions on cognitive biases, decision making, and behavioral economics. These concepts evaluate how social norms, emotions, and heuristics influence human judgment and group behavior. Master these topics to build a strong foundation for psychology and social science exams.

Behavioral economicsSocial group influencesEmotional decision makingConfirmation bias

Cognitive Biases and Decision Making Questions

Multiple choice

The tendency to forget information that is similar to other information that has been learned is known as:

  1. Decay theory

  2. Interference theory

  3. Motivated forgetting

  4. Repression
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Interference theory is the tendency to forget information that is similar to other information that has been learned.

Multiple choice

The tendency to forget information that is unpleasant or threatening is known as:

  1. Decay theory

  2. Interference theory

  3. Motivated forgetting

  4. Repression
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Motivated forgetting is the tendency to forget information that is unpleasant or threatening.

Multiple choice

Which of the following is NOT a factor that influences consumer decision-making under uncertainty?

  1. Risk aversion

  2. Ambiguity aversion

  3. Framing effects

  4. Information availability
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

While risk aversion, ambiguity aversion, and framing effects are all factors that influence consumer decision-making under uncertainty, information availability is not a direct factor. Instead, it is a condition that can affect the other factors.

Multiple choice

What is the term for the tendency of consumers to prefer a sure outcome over a risky outcome, even if the expected value of the risky outcome is higher?

  1. Risk aversion

  2. Ambiguity aversion

  3. Framing effects

  4. Prospect theory
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Risk aversion is the tendency of consumers to prefer a sure outcome over a risky outcome, even if the expected value of the risky outcome is higher. This is a common phenomenon in consumer decision-making under uncertainty.

Multiple choice

What is the term for the tendency of consumers to prefer a risky outcome over a sure outcome, even if the expected value of the risky outcome is lower?

  1. Risk aversion

  2. Ambiguity aversion

  3. Risk seeking

  4. Framing effects
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Risk seeking is the tendency of consumers to prefer a risky outcome over a sure outcome, even if the expected value of the risky outcome is lower. This is the opposite of risk aversion.

Multiple choice

What is the term for the tendency of consumers to be more risk-averse when making decisions involving gains compared to losses?

  1. Risk aversion

  2. Ambiguity aversion

  3. Prospect theory

  4. Loss aversion
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Loss aversion is the tendency of consumers to be more risk-averse when making decisions involving gains compared to losses. This means that consumers are more likely to take risks to avoid losses than they are to take risks to achieve gains.

Multiple choice

Which of the following is NOT a factor that influences ambiguity aversion?

  1. Lack of information

  2. Complexity of the decision

  3. Personal experience

  4. Cultural factors
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Lack of information, complexity of the decision, and cultural factors are all factors that influence ambiguity aversion. Personal experience is not a direct factor, as it is more relevant to risk aversion.

Multiple choice

What is the term for the tendency of consumers to make different decisions depending on how the options are presented, even if the underlying outcomes are the same?

  1. Framing effects

  2. Prospect theory

  3. Loss aversion

  4. Risk aversion
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Framing effects are cognitive biases that influence consumer decision-making by presenting information in a particular way. Consumers may make different decisions depending on how the options are presented, even if the underlying outcomes are the same.

Multiple choice

What is the term for the tendency of consumers to overweight small probabilities and underweight large probabilities when making decisions under uncertainty?

  1. Risk aversion

  2. Ambiguity aversion

  3. Prospect theory

  4. Probability weighting
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Probability weighting is the tendency of consumers to overweight small probabilities and underweight large probabilities when making decisions under uncertainty. This is a cognitive bias that can lead to irrational decision-making.

Multiple choice

What is the term for the tendency of consumers to make different decisions when they are presented with a series of choices compared to when they are presented with a single choice?

  1. Framing effects

  2. Prospect theory

  3. Loss aversion

  4. Choice overload
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Choice overload is the tendency of consumers to make different decisions when they are presented with a series of choices compared to when they are presented with a single choice. This is because consumers may experience difficulty in processing and evaluating multiple options, leading to decision-making errors.

Multiple choice

What is the term for the tendency of consumers to be more risk-averse when making decisions involving small amounts of money compared to large amounts of money?

  1. Risk aversion

  2. Ambiguity aversion

  3. Prospect theory

  4. Diminishing marginal utility
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Diminishing marginal utility is the tendency of consumers to be more risk-averse when making decisions involving small amounts of money compared to large amounts of money. This is because the marginal utility of money decreases as the amount of money increases.

Multiple choice

What is the term for the psychological phenomenon where people tend to identify with and empathize with the characters in a movie?

  1. Catharsis

  2. Identification

  3. Projection

  4. Transference
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Identification is the psychological process where people relate to and feel a connection with the characters in a movie, often leading to emotional involvement and empathy.

Multiple choice

What is the term for the psychological phenomenon where people tend to project their own thoughts, feelings, and desires onto the characters in a movie?

  1. Catharsis

  2. Identification

  3. Projection

  4. Transference
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Projection is the psychological process where people attribute their own thoughts, feelings, and desires to others, including the characters in a movie, often leading to misinterpretations and misunderstandings.

Multiple choice

What is the term for the psychological phenomenon where people tend to transfer their feelings and attitudes towards one person or object to another person or object?

  1. Catharsis

  2. Identification

  3. Projection

  4. Transference
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Transference is the psychological process where people transfer their feelings and attitudes towards one person or object to another person or object, often leading to distorted perceptions and relationships.

Multiple choice

What is the term for the psychological phenomenon where people tend to seek out movies that reflect their own beliefs, values, and attitudes?

  1. Selective Perception

  2. Confirmation Bias

  3. Selective Exposure

  4. Selective Attention
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Selective Exposure is the psychological process where people tend to seek out movies that reflect their own beliefs, values, and attitudes, often leading to a reinforcement of existing beliefs and a resistance to new ideas.