#1
Which of the following is an example of a cognitive bias?
Confirmation bias
Logical reasoning
Critical thinking
Objective analysis
#2
What does the term 'opportunity cost' refer to in economics?
The cost of an opportunity
The value of the next best alternative forgone
The monetary expense of an opportunity
The potential profit from an opportunity
#3
Which of the following is NOT a step in the critical thinking process?
Observing and gathering information
Making hasty assumptions
Evaluating evidence
Drawing conclusions
#4
What is the principle of 'Occam's Razor' in critical thinking?
The simplest explanation is usually the correct one
The most complex explanation is usually the correct one
All explanations are equally valid
No explanation is valid
#5
What does the term 'consumer surplus' represent in economics?
The difference between what consumers are willing to pay and what they actually pay
The difference between total revenue and total cost for a firm
The extra utility consumers gain from consuming additional units of a good
The amount of goods that consumers can purchase with their income
#6
Which of the following is NOT a characteristic of a credible source?
Objectivity
Relevance
Sensationalism
Accuracy
#7
What is the purpose of 'caveat emptor' in the context of consumer protection?
To promote consumer rights
To encourage responsible consumption
To warn consumers of potential risks
To regulate product prices
#8
What is the primary purpose of a cost-benefit analysis in decision-making?
To maximize costs
To minimize benefits
To compare the costs and benefits of a decision
To ignore potential outcomes
#9
In statistics, what does 'statistical significance' refer to?
The practical importance of a result
The probability of obtaining a result by chance
The precision of a measurement
The range of possible outcomes
#10
What is the primary purpose of a control group in an experiment?
To ensure the experiment runs smoothly
To provide a baseline for comparison
To manipulate the independent variable
To collect qualitative data
#11
Which fallacy occurs when someone argues that because something happened before, it will happen again?
Ad hominem
Slippery slope
Hasty generalization
Post hoc ergo propter hoc
#12
In terms of personal finance, what does the term 'liquidity' refer to?
The ability to quickly convert assets into cash without significant loss
The total value of assets owned by an individual
The rate at which an investment grows over time
The cost of borrowing money
#13
What does the term 'market equilibrium' signify in economics?
A situation where demand exceeds supply
A situation where supply exceeds demand
A state where quantity demanded equals quantity supplied
A state where prices remain fixed
#14
Which of the following is a common logical fallacy?
Adherence to evidence
Circular reasoning
Analytical thinking
Evidence-based argumentation