Question 1

There are advantages to having positive illusions.

Accepted Answer

A) True 
 B)False  True

Question 2

Why,according to research,do people tend to be overconfident in estimating outcomes? Suggest a mechanism for tackling overconfidence.

Accepted Answer

overconfidence occurs because we are more able to recall confirming than disconfirming evidence for the believed outcome.Our initial beliefs produce selective mental accessibility of information that is consistent with these beliefs. One possible debiasing mechanism is forcing oneself to consider scenarios that include different outcomes than the believed one.Such forced consideration increases the salience and vividness of other possibilities in one's memory.Another one is simply artificially decrease one's estimations of the outcome's likelihood.

Question 3

What is the potential downside to portraying confidence to others?

Accepted Answer

If you are exposed as wrong despite being confident,you lose credibility and your reputation suffers.

Question 4

What is the name given to the tendency to falsely think we rank higher than others on certain dimensions?

Accepted Answer

A)  Overprecision
B)  Overestimation
C)  Overplacement
D)  Overjustification

Question 5

Why do many argue that overplacement is more problematic than underplacement?

Accepted Answer

The answer of Why do many argue that overplacement is...

Question 6

Overconfidence is so robust that research has failed to identify situations in which we are likely to be underconfident.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following is a common mistake made by investors?

Accepted Answer

A)  They don't invest enough money.
B)  They trade too often.
C)  They take on too much risk in their portfolios.
D)  They don't correctly time the market.

Question 8

Why do we tend to overplace our ability relative to others on easy tasks?

Accepted Answer

The answer of Why do we tend to overplace our...

Question 9

In what ways is it beneficial to outwardly express confidence?

Accepted Answer

A)  People feel better about themselves.
B)  People perform better because they face a lot of pressure to justify their confident predictions.
C)  People are more persuasive and capable of attaining status when they portray confidence.
D)  The outward expression of confidence is not beneficial.

Question 10

People tend to overestimate their control in situations where they have objectively little control.

Accepted Answer

A) True 
 B)False

Question 11

What is the name given to the tendency to be too sure that our judgments and decisions are accurate?

Accepted Answer

A)  Overprecision
B)  Overestimation
C)  Overplacement
D)  Overjustification

Question 12

What is the name given to the tendency to think we are better than we actually are?

Accepted Answer

A)  Overprecision
B)  Overestimation
C)  Overplacement
D)  Overjustification

Question 13

When are we the most likely to overplace our performance relative to others?

Accepted Answer

A)  When we are in a good mood.
B)  When we are trying to impress others.
C)  When we are working on an easy task.
D)  None of the above.

Question 14

What is the planning fallacy and when is it the most likely to occur?

Accepted Answer

The answer of What is the planning fallacy and when...

Exam 2: Overconfidence

There are advantages to having positive illusions.

Why,according to research,do people tend to be overconfident in estimating outcomes? Suggest a mechanism for tackling overconfidence.

What is the potential downside to portraying confidence to others?

What is the name given to the tendency to falsely think we rank higher than others on certain dimensions?

Why do many argue that overplacement is more problematic than underplacement?

Overconfidence is so robust that research has failed to identify situations in which we are likely to be underconfident.

Which of the following is a common mistake made by investors?

Why do we tend to overplace our ability relative to others on easy tasks?

In what ways is it beneficial to outwardly express confidence?

People tend to overestimate their control in situations where they have objectively little control.

What is the name given to the tendency to be too sure that our judgments and decisions are accurate?

What is the name given to the tendency to think we are better than we actually are?

When are we the most likely to overplace our performance relative to others?

What is the planning fallacy and when is it the most likely to occur?