Mark feels that gold will increase in value significantly this coming year simply because it has lost value in each of the last five years. Mark is displaying signs of the:

Question

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Mark's belief that gold will increase in value simply because it has lost value in the last five years demonstrates the gambler's fallacy. The gambler's fallacy is the belief that past outcomes affect future outcomes, despite each outcome being independent and random. In this case, Mark believes that gold is more likely to increase in value in the coming year because it has lost value for five years in a row, even though each year's value is unrelated to the others.

Mark Feels That Gold Will Increase in Value Significantly This