Parker believes that as long as he pays good wages and treats his workers fairly, he can keep employee turnover to a minimum even though his store is located in a community that is known for having a transient population. Parker's belief is an example of which of the following psychological biases?

Question

Quizplus · Accepted Answer

Parker's belief that he can control employee turnover through good wages and fair treatment is an example of the illusion of control bias, which refers to the tendency for individuals to overestimate their ability to control outcomes that are actually determined by chance or external factors. This bias can lead to overconfidence in decision-making and a failure to acknowledge the role of situational factors in determining outcomes.

Parker Believes That as Long as He Pays Good Wages