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Questions and Answers

What is an example of a cognitive bias that affects decision making by favoring existing beliefs?

  • McNamara fallacy
  • Confirmation bias (correct)
  • Disproportionate assessment
  • Quantification fixation

Which term describes an overemphasis on measurable outcomes, potentially neglecting qualitative aspects?

  • Criterion
  • Propensity
  • Quantification fixation (correct)
  • Emphasis

What logical fallacy occurs when decisions are made based only on quantitative data, ignoring other factors?

  • McNamara fallacy (correct)
  • Retention
  • Cognitive bias
  • Quantification fixation

What does disproportionate mean in a business context?

<p>Incorrect allocation of resources (D)</p> Signup and view all the answers

Which word best describes a diverse range of options available in a menu?

<p>Varied (A)</p> Signup and view all the answers

What is retention primarily concerned with in a business setting?

<p>Employee and customer loyalty (D)</p> Signup and view all the answers

Which term indicates a tendency to behave in a specific manner?

<p>Propensity (D)</p> Signup and view all the answers

What does the term criterion refer to in a selection process?

<p>A standard for judgment (B)</p> Signup and view all the answers

What strategy is often implemented to support an individual's career advancement?

<p>Climb the ladder (B)</p> Signup and view all the answers

What is a common result of confirmation bias in decision-making?

<p>Ignoring contradictory data (A)</p> Signup and view all the answers

What does the term 'interpret' most closely refer to?

<p>To explain the meaning of something (D)</p> Signup and view all the answers

Which statement best describes something that is 'fictitious'?

<p>Not real or fabricated (D)</p> Signup and view all the answers

What is encompassed by the definition of 'literacy'?

<p>Competence in reading and writing (D)</p> Signup and view all the answers

Who are referred to as 'contestants'?

<p>Individuals competing in a contest (C)</p> Signup and view all the answers

Which of the following scenarios would most likely lead to a 'giddy' feeling?

<p>Experiencing overwhelming joy (C)</p> Signup and view all the answers

In what situation would someone struggle to 'interpret' information?

<p>Being unaware of the relevant background (D)</p> Signup and view all the answers

Which best exemplifies a 'fictitious' scenario?

<p>An imaginary world in a fantasy novel (D)</p> Signup and view all the answers

Which type of literacy specifically pertains to financial matters?

<p>Financial literacy (C)</p> Signup and view all the answers

In a competitive setting, who would NOT be classified as a contestant?

<p>A person presenting a proposal (C)</p> Signup and view all the answers

Flashcards

Interpret

To explain the meaning of something; to understand or make sense of information. Example: It can be difficult to interpret the results of the study without considering the context in which it was conducted.

Fictitious

Not real; invented or fabricated; imaginary. Example: The novel features a fictitious world filled with fantastical creatures and adventures.

Literacy

The ability to read and write; also refers to competence or knowledge in a specific area. Example: Financial literacy is essential for making informed decisions about personal finances.

Contestants

Individuals who compete in a contest or competition. Example: The contestants in the cooking show came from various backgrounds, each with unique culinary skills.

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Giddy

Feeling light-headed, overly joyful, or excitable; often associated with dizziness. Example: She felt giddy with excitement when she received the news that she had won the scholarship.

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Cognitive Bias

A systematic error in thinking that affects decisions and judgments. For example, confirmation bias is a common cognitive bias where people favor information that confirms their existing beliefs.

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Quantification Fixation

An excessive focus on measurable data, often at the expense of qualitative factors. For example, the team's quantification fixation led them to overlook important insights that couldn't be easily measured.

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McNamara Fallacy

A logical fallacy that occurs when a decision is made based solely on quantitative metrics, ignoring qualitative factors. For example, the McNamara fallacy was evident when management decided to cut funding for programs that improved employee morale, as they were not directly measurable.

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Emphasis

Special importance or significance placed on something. For example, the teacher placed emphasis on the importance of studying regularly to ensure better understanding of the material.

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Disproportionate

Out of proportion; too large or too small in relation to something else. For example, the company's spending on marketing was disproportionate compared to its revenue, raising concerns among investors.

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Climb the Ladder

To advance in a career or achieve higher status. For example, she worked hard and took every opportunity to climb the ladder in her company.

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Retention

The ability to keep or hold onto something; in a business context, it often refers to keeping employees or customers. For example, the new training program improved employee retention rates significantly over the past year.

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Varied

Different or diverse; showing a range of different characteristics. For example, the menu offered a varied selection of dishes from different cultures around the world.

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Criterion

A standard or principle by which something is judged or decided. For example, the main criterion for selecting candidates was their relevant experience and skills.

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Confirmation Bias

A tendency to interpret new evidence as confirmation of one's existing beliefs or theories. For example, his confirmation bias led him to ignore data that contradicted his hypothesis.

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Study Notes

  • Cognitive bias: A systematic error in thinking that affects decisions and judgments. Confirmation bias is an example where people favor information confirming their existing beliefs.

  • Quantification fixation: An excessive focus on measurable data, often at the expense of qualitative factors. This can lead to overlooking important insights.

  • McNamara fallacy: A logical fallacy of basing decisions solely on quantitative metrics, neglecting qualitative factors. This was exemplified by cutting programs improving morale due to the lack of measurability.

  • Emphasis: Special importance or significance placed on something. Teachers, for example, emphasize the importance of studying.

  • Disproportionate: Out of proportion; too large or small in relation to something else. A marketing budget disproportionately large to revenue is a concern.

  • Climb the ladder: To advance in a career or achieve higher status.

  • Retention: The ability to keep or hold onto something. In business, this often refers to keeping employees or customers.

  • Varied: Different or diverse, showing a range of different characteristics. Diverse selections, like a varied menu, offer a variety of choices.

  • Criterion: A standard or principle by which something is judged or decided. Experience and skills could be criteria for choosing a candidate.

  • Confirmation bias: A tendency to interpret new information as confirming existing beliefs or theories. This leads to ignoring contradictory data.

  • Propensity: An inclination or natural tendency to behave in a particular way. Children have a tendency to imitate adults.

  • Interpret: To explain the meaning of something; to understand or make sense of information. Interpreting study results requires considering the context.

  • Fictitious: Not real; invented. Imaginary or fabricated, like a fictional world in a novel.

  • Literacy: The ability to read and write, or competence in a particular area. Financial literacy is essential for financial decisions.

  • Contestants: Individuals who compete in a contest. The contestants in shows have diverse backgrounds and skills.

  • Giddy: Feeling light-headed, overly joyful, or excitable; often associated with dizziness.

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