Deck 6: Perception and Individual Decision Making

Question 1

Attribution theory uses three factors to determine if a person's behavior is caused internally or externally. One of these three factors is consensus. It indicates if ________.

A) the person has high propensity to defer to others
B) the individual displays different behaviors in different situations
C) everyone who faces a similar situation responds in the same way
D) the individual responds the same way over time
E) the person scores high on conscientiousness

Answer 1

C
Explanation: C) If everyone who faces a similar situation responds in the same way, we can say the behavior shows consensus. If consensus for a behavior is high, we tend to consider it as an externally caused behavior.

Question 2

Loud people are more likely to be noticed in a group than quiet ones. So, too, are extremely attractive or unattractive individuals. Which of the following statements best explains the reason behind this fact?

A) Our perception of reality depends on our past experiences.
B) Our perception of reality depends on our personality.
C) The relationship of a target to its background influences our perception of the target.
D) The time at which we see an object can influence our perception of the object.
E) Our motives and expectations affect our perception of a target.

Answer 2

C
Explanation: C) Characteristics of the target we observe can affect what we perceive. Because we don't look at targets in isolation, the relationship of a target to its background influences our perception of the target.

Question 3

With reference to the attribution theory, which of the following terms indicates the extent to which an individual displays different behaviors in different situations?

A) continuity
B) integrity
C) stability
D) flexibility
E) distinctiveness

Answer 3

E
Explanation: E) Distinctiveness is one of three determining factors that contribute to attribution theory perceptions. Distinctiveness refers to whether or not an individual displays different behaviors in different situations.

Question 4

Whenever Jane is successful she takes full credit for her success, but whenever she is unsuccessful she attributes her failure to bad luck or blames one of her fellow employees. She is guilty of the ________.

A) fundamental attribution error
B) attribution bias
C) confirmation bias
D) distinction bias
E) self-serving bias

Question 5

________ indicates the tendency of an individual to attribute his own successes to internal factors while putting the blame for failures on external factors.

A) Fundamental attribution error
B) Self-serving bias
C) Distinction bias
D) Selective perception
E) Stereotyping

Question 6

Two people see the same thing at the same time yet interpret it differently. In this situation, factors that operate to shape their dissimilar perceptions reside in the ________.

A) perceivers
B) target
C) timing
D) context
E) situation

Question 7

Your boss never gives you the benefit of the doubt. When you arrived late from lunch, he assumed that you had simply taken too much time. He never considered that the elevators were not working that day and the fact that you had to walk up 10 flights of stairs. Your boss is guilty of ________.

A) a self-serving bias
B) selective perception
C) the fundamental attribution error
D) inconsistency
E) stereotyping

Question 8

Which of the following statements is true regarding perception?

A) Our perception of reality is independent of our personality.
B) The context of the situation in which the perception is made has little effect on our perception of reality.
C) Our perception of reality can be different from the objective reality.
D) Our perception of reality is independent of our past experiences.
E) We form a perception of a target by looking at it in isolation.

Question 9

According to the attribution theory, if a behavior scores ________, we tend to attribute it to internal causes.

A) low on consistency
B) high on traceability
C) low on distinctiveness
D) high on consensus
E) low on flexibility

Question 10

Which of the following terms best describes the tendency to underestimate the influence of external factors and overestimate the influence of internal factors when making judgments about the behavior of others?

A) fundamental attribution error
B) halo effect
C) selective perception
D) overconfidence
E) randomness error

Question 11

According to the attribution theory, if a behavior scores ________, we tend to attribute it to external causes.

A) low on distinctiveness
B) high on adaptability
C) low on consistency
D) high on stability
E) low on consensus

Question 12

David is of the opinion that people who drive SUVs are dangerous drivers. He often thinks that people driving SUVs are driving rashly, even when other observers can see nothing wrong with the behavior of the SUV drivers. What factor is affecting his perception in this case?

A) his interests
B) his personality
C) his expectations
D) his motives
E) his attitude

Question 13

Janice is late for work each day by about ten minutes. How would the attribution theory describe this behavior?

A) It shows consensus.
B) It shows similarity.
C) It shows reliability.
D) It shows consistency.
E) It shows distinctiveness.

Question 14

________ theory tries to explain the ways in which we judge people differently, depending on the meaning we attribute to a given behavior.

A) ERG
B) Hierarchy of needs
C) Acquired needs
D) Attribution
E) Two factor

Question 15

Investors bragged about their investing expertise in the stock market rally between 1996 and early 2000. Knowing individuals rely on the self-serving bias to explain failure, which of the following explanations would an investor be most likely to state after the market imploded in 2000?

A) I did not do sufficient research before investing.
B) The analysts did not look at the numbers properly.
C) I really should have seen it coming.
D) My broker advised me to pull out, but I was blind.
E) I really should have diversified my earnings.

Question 16

Attribution theory suggests that when we observe an individual's behavior, we attempt to determine whether it was internally or externally caused. That determination, however, depends largely on three factors. Which of the following is one of these three factors?

A) stereotyping
B) consistency
C) anchoring
D) rationality
E) intuition

Question 17

________ is the process by which individuals organize and interpret their sensory impressions in order to give meaning to their environment.

A) Cognitive dissonance
B) Environmental analysis
C) Social verification
D) Emotional labor
E) Perception

Question 18

Randy always turns in reports with punctuation errors. The reports of the three other employees on the QA report writing team always produce grammatically clean reports. Randy is about to turn in another report, and his manager has already noticed errors. Randy demonstrates ________. His sloppy reports can be attributed to an ________ cause.

A) low distinctiveness, low consensus, and high consistency; internal
B) high distinctiveness, low consensus, and high consistency; external
C) low distinctiveness, high consensus, and high consistency; internal
D) low distinctiveness, low consensus, and high consistency; external
E) high distinctiveness, high consensus, and high consistency; internal

Question 19

Which of the following is an example of externally caused behavior?

A) An employee is late to work because he was partying late and overslept.
B) An employee is late because of a flat tire.
C) An employee was fired because he violated a company policy.
D) An employee was promoted because he was hard working.
E) An employee died from lung cancer after excessive tobacco use.

Question 20

If a person responds the same way over time, the attribution theory states that the behavior shows ________.

A) distinctiveness
B) consensus
C) consistency
D) continuity
E) stability

Question 21

You are more likely to notice cars like your own due to ________.

A) stereotyping
B) self-serving bias
C) selective perception
D) halo effect
E) contrast effect

Question 22

It was Marisol's first day at work. At first she was very nervous, but when she was introduced to her cubicle neighbor, Hanna, she was reassured by Hanna's soothing smile. Marisol thought that a person with such a beautiful smile could not be bad, and that she would enjoy having her in such close proximity. Which of the following concepts best describes this example?

A) contrast effect
B) fundamental attribution error
C) halo effect
D) selective perception
E) self-serving bias

Question 23

Samantha's rating in a job interview is high in contrast to the candidate who was interviewed directly before her, who was rated extremely low. In this case, Samantha's high rating can be partially attributed to the ________.

A) confirmation bias
B) contrast effect
C) fundamental attribution error
D) self-serving bias
E) bandwagon effect

Question 24

Which is not one of the steps in the rational decision-making model?

A) defining the problem
B) identifying the decision criteria
C) evaluating the alternatives
D) finding a reasonable solution
E) selecting the best alternative

Question 25

Business schools generally train students to follow ________ decision-making models.

A) intuitive
B) convolutional
C) rational
D) bounded rationality
E) sequential

Question 26

When we judge someone on the basis of our perception of the group to which he/she belongs, it is called ________.

A) confirmation bias
B) stereotyping
C) framing effect
D) distinction bias
E) bandwagon effect

Question 27

We use a number of shortcuts when we judge others. All of the following are shortcuts that we use to judge others except ________.

A) stereotyping
B) the halo effect
C) the contrast effect
D) the self-serving bias
E) selective perception

Question 28

Meg has exceeded her budget by at least $200 every month for the last three months. After recognizing that this is a problem, she decides to use the rational decision-making model to decide what to do. What should be the next step she should take, if she follows this model?

A) determine what criteria she needs to take into account when making her decision
B) choose a method to cut her expenses
C) implement some other method of budgeting
D) come up with different ways that would either reduce her expenses or increase her income
E) evaluate different ways that she could use to either reduce her expenses or increase her income

Question 29

Which of the following statements is not an example of stereotyping?

A) There is no need to offer child care to him; men aren't interested in child care.
B) Don't hire an older worker; they can't learn new skills.
C) She was good at her last job, so she will be good at this one.
D) She won't relocate for a promotion, since women don't relocate.
E) The new hire will be emotionally insensitive, since he is a man.

Question 30

In the real world, what do people typically do when making a decision about a problem?

A) follow the rational decision-making model
B) seek the optimal decision
C) obtain complete information about all possible alternatives before making a decision
D) evaluate all the possible options in an unbiased and objective manner
E) find a satisfactory and sufficient solution

Question 31

The students in your class are presenting their oral presentations in front of the entire class. You have heard that there are several frequently used shortcuts to judging others and are wondering if any of these are being used by your teacher.
Allison has just presented her paper and has done a really good job. Why should you not want to present your own paper directly after she does?

A) to avoid the stereotyping effect
B) to avoid the halo effect
C) to avoid the contrast effect
D) to avoid the projection effect
E) to avoid the fundamental attribution error

Question 32

Jennifer has already presented two excellent reports. The third report she has just presented is clearly not as good as the first two reports, yet she is given the same high grade as before. What shortcut has the teacher used in this case?

A) the contrast effect
B) the halo effect
C) stereotyping
D) the framing effect
E) the hindsight bias

Question 33

Because it is impossible for us to assimilate everything we see, we engage in ________.

A) selective perception
B) cognitive dissonance
C) self-serving bias
D) emotional labor
E) fundamental attribution error

Question 34

Which of the following statements is true regarding a contrast effect?

A) Our tendency to attribute our success to internal factors and blame our failure on external factors is called the contrast effect.
B) The contrast effect states that we tend to judge someone on the basis of our perception of the group to which he or she belongs.
C) A person appears more appealing than normal when compared with a person of less appeal due to the contrast effect.
D) If we think that women won't relocate for a promotion, we are using a shortcut to judge all women and it is called the contrast effect.
E) The contrast effect indicates a tendency to fixate on initial information and fail to adequately adjust for subsequent information.

Question 35

With reference to decision making, satisficing involves ________.

A) identifying all possible alternative decisions
B) seeking solutions that are satisfactory and sufficient
C) evaluating all possible alternatives objectively
D) selecting the best option with the highest utility
E) using an unconscious decision-making process created from distilled experience

Question 36

What is the first step in the rational decision-making model?

A) developing alternatives
B) defining the problem
C) identifying the decision criteria
D) weighing the decision criteria
E) collecting relevant data

Question 37

William thinks that all good looking people are kind and hardworking. In this example, the shortcut used by William to judge others is called the ________.

A) contrast effect
B) self-serving bias
C) framing effect
D) halo effect
E) impact bias

Question 38

We don't evaluate a person in isolation. Our reaction to a person is influenced by other persons we have recently encountered. This is known as the ________.

A) halo effect
B) contrast effect
C) confirmation bias
D) framing effect
E) impact bias

Question 39

The students in your class are presenting their oral presentations in front of the entire class. You have heard that there are several frequently used shortcuts to judging others and are wondering if any of these are being used by your teacher.
You have heard that the teacher believes that men perform better in oral presentations than women. What shortcut has the teacher used in this case?

A) the halo effect
B) the contrast effect
C) the hindsight bias
D) stereotyping
E) the self-serving bias

Question 40

Which of the following statements best represents a halo effect?

A) We tend to attribute our own successes to internal factors but we tend to put the blame for our failure on external factors.
B) We tend to judge someone on the basis of our perception of the group to which he or she belongs.
C) Our reaction to a person is influenced by other persons we have recently encountered.
D) We tend to draw a general impression about an individual on the basis of a single characteristic, such as intelligence, sociability, or appearance.
E) When we make judgments about the behavior of other people, we tend to underestimate the influence of external factors and overestimate the influence of internal or personal factors.

Question 41

While negotiating salary with your prospective employer, if you suggest an initial target salary of $55,000, your employer will consider $50,000 to $60,000 a reasonable range for negotiation, but if you mention $55,650, your employer is more likely to consider $55,000 to $56,000 the range of likely values for negotiation. In this example your employer is exhibiting the ________ bias.

A) availability
B) anchoring
C) hindsight
D) confirmation
E) impact

Question 42

Tom knows that the title insurance company made a mistake on his property title. Because of their mistake, his neighbor now has access to an easement road through the 25 acres located at the back of his property. He can't use the acreage for pasture, because his neighbor insists that the gates remain open. The title company has offered a $40,000 settlement. Tom has decided to take the settlement rather than possibly lose in court if he were to sue the title company for more money. Tom's decision is based on ________.

A) hindsight bias
B) availability bias
C) risk aversion
D) randomness error
E) escalation of commitment

Question 43

Which of the following statements is true regarding utilitarianism?

A) It protects the interests of the underrepresented and less powerful.
B) It reduces productivity and efficiency.
C) It promotes decision making that is consistent with fundamental liberties and privileges, as set forth in documents such as the Bill of Rights.
D) The utilitarianism view dominates business decision making.
E) It imposes and enforces rules fairly and impartially.

Question 44

________ is a highly complex and highly developed form of reasoning that is based on years of experience and learning.

A) Contrast effect
B) Halo effect
C) Intuition
D) Selective perception
E) Emotional intelligence

Question 45

The ________ bias is typically associated with negotiation.

A) confirmation
B) distinction
C) anchoring
D) hindsight
E) availability

Question 46

For many people, a 50-50 flip of a coin for $100 might not be worth as much as a sure promise of $50, even though the gamble is mathematically worth twice as much as the sure thing. This is an example of ________.

A) selective perception
B) self-serving bias
C) risk aversion
D) availability bias
E) confirmation bias

Question 47

You are part of a group, making a decision about whether it is appropriate to discontinue research on a new drug. This new drug would save lives, but it is uncertain whether you can develop it within a reasonable time frame and at a reasonable cost. Your firm has already spent a small fortune on this drug. You have gathered so much information in preparation to making the decision that you are unable to sort the good information from the superfluous data. You just feel that this project has merit.
What form of decision making are you using if you decide to continue the project because you feel that the project has merit?

A) optimization
B) intuitive
C) rational
D) satisficing
E) bounded rationality

Question 48

You are the manager of a development group in a large computer software company. You have decided that it is important for your group to understand the many ways that ethical decisions can be made and you are designing a training program on the subject of ethics.
If you wish to emphasize the importance of making decisions consistent with fundamental liberties and privileges, the focus of your teaching will be on ________.

A) utilitarianism
B) justice
C) rights
D) privilege
E) service

Question 49

Which of the following types of biases in decision making represents the tendency of decision makers to prefer a sure thing?

A) hindsight bias
B) bounded rationality
C) escalation of commitment
D) selective perception
E) risk aversion

Question 50

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.

Question 51

In the ethical yardstick of ________, decisions are made solely on the basis of their outcomes, ideally to provide the greatest good for the greatest number.

A) utilitarianism
B) self-serving bias
C) bounded rationality
D) selective perception
E) anchoring bias

Question 52

________ refers to staying with a decision even when there is clear evidence it's wrong.

A) Escalation of commitment
B) Hindsight bias
C) Satisficing
D) Selective perception
E) Availability bias

Question 53

The ________ bias can explain why managers doing performance appraisals give more weight to recent employee behaviors than to behaviors of 6 or 9 months earlier.

A) self-serving
B) availability
C) distinction
D) confirmation
E) hindsight

Question 54

You are part of a group, making a decision about whether it is appropriate to discontinue research on a new drug. This new drug would save lives, but it is uncertain whether you can develop it within a reasonable time frame and at a reasonable cost. Your firm has already spent a small fortune on this drug. You have gathered so much information in preparation to making the decision that you are unable to sort the good information from the superfluous data. You just feel that this project has merit.
Which of the following is an example of a shortcut used in judging others?

A) hindsight bias
B) confirmation bias
C) stereotyping
D) randomness error
E) availability bias

Question 55

Decision makers construct simplified models that extract the essential features from problems without capturing all their complexity. That is, they operate within the confines of ________.

A) optimal decision making
B) intuitive decision making
C) bounded rationality
D) rationality
E) common sense

Question 56

"A third criterion is to impose and enforce rules fairly and impartially to ensure justice or an equitable distribution of benefits and costs." Which of the following statements is true regarding this criterion?

A) Union members typically oppose this view.
B) It justifies paying people based on their performance.
C) It promotes risk taking and innovation.
D) It increases productivity.
E) It protects the interests of the underrepresented and less powerful.

Question 57

Which of the following statements is true regarding the rational decision-making model?

A) The rational decision-making model takes into consideration the limited information-processing capability of individuals.
B) Rational decision-making models involve constructing simplified models that extract the essential features from problems without capturing all their complexity.
C) The rational decision-making model involves satisficing; seek solutions that are satisfactory and sufficient.
D) The rational decision-making model assumes that an individual is able to identify all the relevant options in an unbiased manner.
E) The rational decision-making process is an unconscious one created from distilled experience.

Question 58

We tend to accept at face value information that is consistent with our preconceived views, while we are critical and skeptical of information that challenges these views. This represents the ________ bias.

A) distinction
B) impact
C) hindsight
D) confirmation
E) self-serving

Question 59

The three criteria for making ethical decisions are ________.

A) utilitarianism, creativity, and rights
B) historical precedents, rights, and utilitarianism
C) rewards, regulations, and time orientation
D) utilitarianism, rights, and justice
E) historical precedents, reward, and justice

Question 60

In a study conducted by Amos Tversky and Daniel Kahneman, the two showed that when asked to guess the percentage of African nations which are members of the United Nations, people who were first asked "Was it more or less than 10%?" guessed lower values (25% on average) than those who had been asked if it was more or less than 65% (45% on average). This example best represents the ________

A) anchoring bias
B) contrast effect
C) confirmation bias
D) availability bias
E) hindsight bias

Question 61

In the attribution theory, "distinctiveness" refers to whether an individual displays different behaviors in different situations.

Question 62

When we draw a general impression about an individual on the basis of a single characteristic, such as intelligence, sociability, or appearance we are using a shortcut called the contrast effect.

Question 63

Which of the following is a component of the three-component model that is considered as the foundation for all creative work?

A) expertise
B) creative thinking skills
C) intrinsic task motivation
D) intuition
E) analytical skills

Question 64

People's behavior is based on their perception of what reality is, not on reality itself.

Question 65

The relationship of a target to its background influences our perception of that target.

Question 66

When we judge someone on the basis of our perception of the group to which he or she belongs, we are using the shortcut called stereotyping.

Question 67

Our perception of reality can be substantially different from objective reality.

Question 68

Which of the following statements is true regarding creativity?

A) Avoidance-oriented negative moods such as fear and anxiety increase creativity.
B) People who score high on openness to experience are less likely to be creative.
C) Creative people tend to have external locus of control.
D) Passive negative moods such as sadness decrease creativity.
E) Having "weak ties" to creative people facilitates creativity.

Question 69

Our perception of a target is affected by the characteristics of the target and not by our personality and past experiences.

Question 70

Which of the following is a component of the three-component model of creativity that encompasses certain personality characteristics of an individual such as the ability to use analogies?

A) expertise
B) creative thinking skills
C) intrinsic task motivation
D) intuition
E) selective perception

Question 71

Gene is regarded by his peers as an extremely creative designer of watercraft. He attributes much of his success to his family: he was raised by a traditional boat builder and from a very early age was surrounded by boats and the people who made them. To what element of the three-component model of creativity does Gene attribute his success?

A) intuitiveness
B) external locus of control
C) task motivation
D) expertise
E) creative thinking skills

Question 72

The rational decision-making model takes into consideration the fact that all the information pertaining to the problem might not be available to the decision maker.

Question 73

When we make judgments about the behavior of other people, we tend to overestimate the influence of external factors and underestimate the influence of internal or personal factors.

Question 74

Which of the following traits does a decision maker need to have if they are to fully appraise a problem and even see problems that others are not aware of?

A) creativity
B) rationality
C) conceptual style
D) intuition
E) individuality

Question 75

You are the manager of a development group in a large computer software company. You have decided that it is important for your group to understand the many ways that ethical decisions can be made and you are designing a training program on the subject of ethics.
Martha submitted a formal complaint to OSHA about unsafe work conditions in her company's warehouse. Martha is a ________.

A) utilitarian thinker
B) judge
C) creative thinker
D) whistle-blower
E) humanitarian

Question 76

A common tendency related to the overconfidence bias is that as managers and employees become more knowledgeable about an issue, they become more likely to display overconfidence.

Question 77

According to the attribution theory, if a behavior scores high on consensus and distinctiveness, we tend to consider it as an internally caused behavior.

Question 78

With reference to the three-component model of creativity, which of the following components turns creative potential into actual creative ideas?

A) expertise
B) creative thinking skills
C) intrinsic task motivation
D) intuition
E) emotional intelligence

Question 79

The three-component model of creativity proposes that individual creativity essentially requires expertise, creative thinking skills, and ________.

A) external locus of control
B) intrinsic task motivation
C) emotional intelligence
D) positivity offset
E) selective perception

Question 80

The halo effect occurs because it is impossible for us to assimilate everything we see.