CAT 2002 — VARC Question 27
Fill the gaps in the passage below with the most appropriate word from the options given for each gap. The right words are the ones used by the author. Be guided by the author's overall style and meaning when you choose the answers.
Von Neumann and Morgenstern assume a decision framework in which all options are thoroughly considered, each option being independent of the others, with a numerical value derived for the utility of each possible outcome (these outcomes reflecting, in turn, all possible combinations of choices). The decision is then made to maximize the expected utility.
_______1______ such a model reflects major simplifications of the way decisions are made in the real world. Humans are not able to process information as quickly and effectively as the model assumes; they tend not to think ______2_______ as easily as the model calls for; they often deal with a particular option without really assessing its ______3_______ and when they do assess alternatives, they may be externally nebulous about their criteria of evaluation.
2
Answer & solution
quantitatively
- B
systematically
- C
scientifically
- D
analytically
In this blank, we are looking for something that humans do not do, but that the model assumes that they can. This is best represented by “quantitatively”, which refers to the amount of numbers that need to assigned to each outcome (refer the text that says outcomes represents all possible combinations of choices).
The others options are may fit the blank independently (thinking in terms of what humans tend not to do), but given the content, “quantitatively” fits best.
Hence, the correct answer is option 1.