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 storewide sale and offer ten percent off all merchandise for a three-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 is exhibiting false consensus bias by assuming that their beliefs about the economy are shared by the majority of their superiors and other store managers without any evidence to support this assumption.

You Are the Manager of a Retail Store