You are the manager of a retail store. You believe the economy is in a recession and that sales for the month will be unusually slow. Since you have complete discretion over the pricing at your
Location, you decide to have a store-wide sale and offer 10 percent off all merchandise for a 3-day
Period. You don't expect your superiors to criticize this decision as you believe they, along with the
Majority of the other store managers, feel the same way about the economy as you do. Which one
Of the following applies to you?
A) Recency bias.
B) Law of small numbers.
C) Gambler's fallacy.
D) False consensus.
E) Money illusion.

Question

Quizplus · Accepted Answer

The manager's belief that their superiors and other store managers share their belief about the state of the economy and will not criticize their decision suggests a false consensus bias. This is the tendency to overestimate the extent to which others share one's beliefs and attitudes. The other options do not apply as closely to the given scenario.

You Are the Manager of a Retail Store