GMAT 2025 Reading Comprehension Test Practice Questions - Cognitive Science and Decision Making

Question 1

Based on the passage, what was demonstrated by the real estate agent study?

Accepted Answer

B) Initial listing prices significantly influence valuations

Answer

A) Agents are immune to cognitive biases

Answer

C) Market conditions override psychological factors

Answer

D) Experience eliminates decision-making errors

Question 2

The passage suggests that cognitive biases are:

Accepted Answer

B) Systematic patterns affecting judgment

Answer

A) Rare occurrences in human thinking

Answer

C) Only present in economic decisions

Answer

D) Easily overcome with training

Question 3

What is the primary purpose of the passage?

Accepted Answer

B) To explain different decision-making systems and their biases

Answer

A) To argue against psychological research methods

Answer

C) To promote specific economic policies

Answer

D) To criticize real estate valuation practices

Question 4

Which statement would the author most likely agree with?

Accepted Answer

C) Understanding cognitive biases has practical applications

Answer

A) Human decision-making is always rational

Answer

B) Automatic thinking processes never lead to errors

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D) System 2 thinking is superior in all situations

Question 5

The mention of plane crashes in the passage serves to illustrate:

Accepted Answer

B) The availability heuristic in action

Answer

A) The accuracy of media reporting

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C) The dangers of air travel

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D) The limitations of statistical analysis

Question 6

What can be inferred about Daniel Kahneman's work from the passage?

Accepted Answer

B) It challenged traditional views of human rationality

Answer

A) It focused exclusively on economic decision-making

Answer

C) It was primarily theoretical without practical applications

Answer

D) It disproved the existence of cognitive biases