Under which circumstances is "hiring success gain" likely to be optimal?
A) Low selection ratio, low base rate, high validity
B) High selection ratio, high base rate, high validity
C) High selection ratio, low base rate, high validity
D) High selection ratio, low base rate, low validity

Question

Quizplus · Accepted Answer

When the selection ratio is low, there are fewer qualified applicants for a job opening, and the base rate is also low (i.e., there are relatively few successful hires to begin with). In such cases, a high validity hiring procedure is especially important. The success gain (i.e., the increase in successful hires resulting from using a particular selection procedure) is likely to be optimal when the selection ratio is low, the base rate is low, and the validity is high. Therefore, the best choice is A.

Under Which Circumstances Is "Hiring Success Gain" Likely to Be