Suppose you were asked, "Can you guess the height of the tallest living man? Is it more than 8 feet?" When people suggest an answer in the question they ask, it is a form of:

A. anchoring.
B. rule of thumb.
C. time inconsistency.
D. positive framing.

A. anchoring.

Economics

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According to Keynes, planned consumption

A) decreases as disposable income increases. B) is positively related to real disposable income. C) is unstable and fluctuates widely with changes in disposable income. D) is indirectly related to the interest rate.

Economics

The consumer price index reflects

A. the changes in the prices of goods and services typically purchased by consumers. B. the average level of prices for intermediate goods and services purchased by business. C. the median price of a typical single family home. D. prices of all goods and services computed from the ratio of nominal GDP to real GDP.

Economics