In the taxi cab example, the concept that describes the mistake the individual made by identifying the taxi as blue despite the fact that $P($ taxi is blue $)=.15$ is called the base rate neglect.

Question

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The individual ignored the base rate probability (the overall likelihood of a taxi being blue) in favor of less reliable evidence, which is a classic example of base rate neglect.

In the Taxi Cab Example, the Concept That Describes the Mistake