1a. Slovic et al. (2000) identify a number of heuristics that humans use to make decisions in the face of uncertainty. What exactly is a "heuristic," and why do humans use heuristics to make decisions? (one paragraph answer)

1b. Slovic et al. (2000) provide a number of examples of decision heuristics, including those listed below. For each decision heuristic listed, provide an example that clearly illustrates it: (one sentence to one paragraph answer for each)

"Tversky and Kahneman summarized these results by asserting that people's intuitions seemed to satisfy a 'law of small numbers', which means that the 'law of large numbers' applied to small samples as well as to large ones" (Slovic et al. 2000). Example:

". . . people have a very poor conception of randomness; they do not recognize it when they see it and they cannot produce it when they try . . ." (Slovic et al. 2000). Example:

"Judgement of probability by availability" (Slovic et al. 2000). Example:

"Anchoring and adjustment in quantifying uncertainty" (Slovic et al. 2000) Example: