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M1 - Discussion- Psychology of decision making

M1 - Discussion- Psychology of decision making

Q 1. Describe an example in which a business or political organization may use anchoring effects to in?uence decision-making. 2. Describe an example in which a business or political organization may use framing effects to in?uence decision-making.

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When a seemingly insignificant aspect serves as a starting point for estimations in a decision-making dilemma, the anchoring effect occurs.