1. The availability heuristic refers to the tendency:
A. to choose an alternative that is good enough rather than the best.
B. for people to influence an initial anchor point.
C. to evaluate probabilities of events or objects by how closely it resembles another event.
D. to estimate the probability of something occurring by how easily we can recall those events.
E. for decision makers to evaluate alternatives sequentially rather than comparing them all at once.
2. Which of the following statements is true about scenario planning?
A. It is unwittingly selective in the acquisition and use of evidence.
B. It is the process of planning a solution based on employee preferences.
C. It is a disciplined method for imagining possible futures.
D. It is an act of reframing the problem in a unique way and generating different approaches to the issue.
E. It is the act of calculating the conventionally accepted right answer to a logical problem.
3. The purely rational model of decision making is rarely practiced in reality because it:
A. ignores the fact that problems must be defined before alternatives are chosen.
B. assumes that human beings make decisions based on their emotions and abilities.