People often do not make decisions by using the basic economic principle of rationally weighing all possibilities and then making the choice that can be expected to maximize benefits and minimize harm. Routinely, people process information in ways that are irrational in this sense. Any of the following, if true, would provide evidence in support of the assertions above EXCEPT:
A. People tend to act on new information, independent of its perceived relative merit, rather than on information they already have.
B. People prefer a major risk taken voluntarily to a minor one that has been forced on them, even if they know that the voluntarily taken risk is statistically more dangerous.
C. People tend to take up potentially damaging habits even though they have clear evidence that their own peers as well as experts disapprove of such behavior.
D. People avoid situations in which they could become involved in accidents involving large numbers of people more than they do situations where single-victim accidents are possible, even though they realize that an accident is more likely in the latter situations than in the former.
E. People usually give more weight to a physician"s opinion about the best treatment for a disease than they do to the opinion of a neighbor if they realize that the neighbor is not an expert in disease treatment.
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For many people in the United States who are concerned about the cost of heating homes and
A. There are many competing uses for a finite supply of wood, and suppliers give the lumber and paper industries a higher priority than they give individual consumers.
B. Wood produces thick smoke in burning, and its extensive use in densely populated cities would violate federal antipollution guidelines.
C. There are relatively narrow limits to how far wood can be trucked before it becomes more economical to burn the gasoline used for transportation instead of the wood.
D. Most apartment dwellers do not have adequate storage space for the amount of wood necessary to supply energy for heating.
E. Most commercial users of energy are located within range of a wood supply, and two-thirds of United States homes are located outside of metropolitan areas.
Affirmative action is good business. So asserted the National Association of Manufacturers
A. The percentage of minority and women workers in business has increased more slowly than many minority and women"s groups would prefer.
B. Those businesses with the highest percentages of minority and women workers are those that have been the most innovative and profitable.
C. Disposable income has been rising as fast among minorities and women as among the population as a whole.
D. The biggest growth in sales in the manufacturing sector has come in industries that market the most innovative products.
E. Recent improvements in management practices have allowed many manufacturers to experience enormous gains in worker productivity.
The excessive number of safety regulations that the federal government has placed on industry poses more serious hardships for big businesses than for small ones. Since large companies do everything on a more massive scale, they must alter more complex operations and spend much more money to meet governmental requirements. Which of the following, if true, would most weaken the argument above？
A. Small companies are less likely than large companies to have the capital reserves for improvements.
B. The operations of small companies frequently rely on the same technologies as the operations of large companies.
C. Safety regulation codes are uniform, established without reference to size of company.
D. Large companies typically have more of their profits invested in other businesses than do small companies.
E. Large companies are in general more likely than small companies to diversify their markets and products.
Opponents of laws that require automobile drivers and passengers to wear seat belts argue
A. Many new cars are built with seat belts that automatically fasten when someone sits in the front seat.
B. Automobile insurance rates for all automobile owners are higher because of the need to pay for the increased injuries or deaths of people not wearing seat belts.
C. Passengers in airplanes are required to wear seat belts during takeoffs and landings.
D. The rate of automobile fatalities in states that do not have mandatory seat-belt laws is greater than the rate of fatalities in states that do have such laws.
E. In automobile accidents, a greater number of passengers who do not wear seat belts are injured than are passengers who do wear seat belts.
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