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Problem solving
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Refers to active efforts to discover what must be done to achieve a goal that is not readily attainable
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Functional fixedness
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The tendency to percieve an item nly in terms of its most common use
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Mental set
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Exists when people persist in using problem-solving strategies that have worked in the past
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Insight
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Occurs when people suddenly discover the correct solution to a problem after struggling with it for a while
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Trial and error
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Involves trying possible solutions sequentially and discarding those that are in error until one works
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Heuristic
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A guiding principle or "rule of thumb" used in solving problems or making decisions
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Hill-climbing heuristic
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Entails selecting the alternative at each choice point that appears to lead most directly to one's goal
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Decision making
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Involves evaluating alternatives and making choices among them
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Theory of bounded rationality
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Asserts that people tend to use simple strategies in decision making that focus on only a few facets of available options and often result in "irrational" decisions that are less than optimal
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Risky decision making
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Involves making choices under conditions of uncertainty
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Availability heuristic
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Involves basing the estimated probability of an event on the ease with which relevant instances come to mind
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Representativeness heuristic
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Involves basing the estimated probability of an event on how similar it is to the typical prototype of that event
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Conjunction fallacy
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Occurs when people estimate that the odds of two uncertain events happening together are greater than the odds of either event happening alone
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Gambler's fallacy
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The belief that the odds of a chance event increase if the event hasn't occurred recently
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Mental age
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The mental ability of a child in terms of chronological age
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