Stockbrokers often believe that their own expertise will enable them to select stocks that will outperform the market average.This belief best illustrates

A) a fixation.
B) the framing effect.
C) the availability heuristic.
D) overconfidence.

Question

Maria Crizel dimalanta · Accepted Answer

Final Answer : D, Explanation :  This scenario describes overconfidence, which is the tendency of people to be more confident in their abilities and judgments than is warranted by the evidence. Despite historical evidence that many stockbrokers are not able to consistently outperform the market, they may still believe that they have the expertise to do so.

Stockbrokers often believe that their own expertise will enable them to select stocks that will outperform the market average.This belief best illustrates

A) a fixation.
B) the framing effect.
C) the availability heuristic.
D) overconfidence.

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Learning Objectives

Related questions

Stockbrokers often believe that their own expertise will enable them to select stocks that will outperform the market average.This belief best illustratesA) a fixation.B) the framing effect.C) the availability heuristic.D) overconfidence.

Definitions

Learning Objectives

Learning Objectives

Related questions

Stockbrokers often believe that their own expertise will enable them to select stocks that will outperform the market average.This belief best illustrates

A) a fixation.
B) the framing effect.
C) the availability heuristic.
D) overconfidence.