When events generated by a random process have deviated from the population average in a short run, individuals may erroneously believe that the opposite deviation becomes more likely. This summarizes the
A) illusion of control.
B) gambler's fallacy.
C) switching and double switching.
D) inherent memory bias.

Question

Quizplus · Accepted Answer

The described phenomenon is known as the gambler's fallacy, where individuals believe that if a certain event has occurred frequently in a short run, then the opposite event is more likely to occur in the future. This is a common cognitive bias seen in gambling and other situations involving probability.

When Events Generated by a Random Process Have Deviated from the Population