The last house that Ezra and Shelley saw in the neighborhood where they want to live was listed at $650,000. They now see a house that is similar, and they are surprised that it is on sale for $400,000. Their expectation that it would be higher since it is in the same neighborhood was due to the ________ heuristic.

Question

Quizplus · Accepted Answer

The anchoring heuristic involves relying heavily on the first piece of information encountered (the $650,000 price) when making decisions, which influenced their expectation of the new house's price.

The Last House That Ezra and Shelley Saw in the Neighborhood