When are outcomes said to be independent? What is meant by the ...

[shenderson6]

When are outcomes said to be independent? What is meant by the gambler's fallacy?
 
  What will be an ideal response?

Question 2

________ refers to the reduction in economic surplus resulting from not being in competitive equilibrium.
 
  A) Producer atrophy B) Deadweight loss C) Economic shortage D) Marginal cost

[wilsonbho]

Answer to Question 1

Two outcomes are said to be independent when knowing about one outcome does not help you predict the other outcome. The gambler's fallacy occurs when gamblers mistakenly believethat independent events are unlikely to recur. For example, someone who believes that you are unlikely to roll a 2 with two dice (snake eyes) if you just rolled a 2 is guilty of the gambler's fallacy. The two rolls of the dice are independent events; the probability you will roll a 2 this time is 1/36 regardless of what you rolled last time.

Answer to Question 2

B