#1
Which of the following is NOT a step in the decision-making process?
Ignoring the consequences
ExplanationIt goes against the fundamental process of considering outcomes before making a decision.
#2
What is the concept of opportunity cost in decision making?
The value of the next best alternative forgone
ExplanationIt represents what you give up when you choose one option over another.
#3
What is decision fatigue?
The deterioration in the quality of decisions as decision-making efforts are prolonged
ExplanationQuality of decisions worsens as mental resources are depleted by making multiple decisions.
#4
What is the importance of feedback in decision making?
Feedback can help decision makers learn from past experiences and improve future decisions
ExplanationFeedback provides valuable information to refine decision-making processes.
#5
What is the rational decision-making model?
A model that suggests decision makers seek the best possible outcome
ExplanationIt's about making choices that maximize benefits and minimize risks.
#6
What is bounded rationality in decision making?
Making decisions within the constraints of limited information and resources
ExplanationAcknowledges that decision makers don't have unlimited resources or information.
#7
In decision making, what is the role of intuition?
Intuition can be a useful complement to rational analysis
ExplanationIntuition can provide insights that rational analysis might overlook.
#8
What is satisficing in decision making?
Accepting an option that meets the minimum criteria rather than seeking the best option
ExplanationChoosing an option that is satisfactory rather than exhaustively seeking the best.
#9
What is the role of emotions in decision making?
Emotions can influence decision making, sometimes leading to irrational choices
ExplanationEmotional states can sway decisions away from purely rational choices.
#10
What is cognitive dissonance in decision making?
The discomfort experienced when there is a mismatch between beliefs and actions
ExplanationDiscomfort arises when actions contradict one's beliefs or values.
#11
What is the anchoring bias in decision making?
The tendency to rely too heavily on the first piece of information encountered
ExplanationPeople often base their decisions disproportionately on the first information they receive.
#12
What is the regret avoidance bias in decision making?
The tendency to avoid making decisions to prevent feeling regret
ExplanationDecisions are influenced by the desire to avoid future regrets rather than maximizing benefits.
#13
What is the difference between risk and uncertainty in decision making?
Risk involves known probabilities, while uncertainty involves unknown probabilities
ExplanationRisk implies knowing the probabilities of different outcomes, while uncertainty involves unknown probabilities.
#14
What is the hindsight bias in decision making?
The tendency to overestimate one's ability to predict outcomes after the fact
ExplanationAfter an outcome, people tend to believe they could have predicted it.
#15
What is the concept of decision framing?
The way in which choices are presented can influence decision making
ExplanationThe presentation of options can affect how decisions are perceived and made.
#16
What is the role of heuristics in decision making?
Heuristics are irrational shortcuts that can lead to errors in judgment
ExplanationThey are mental shortcuts that simplify decision-making processes, sometimes leading to errors.