Final answer:
The anchoring heuristic actually refers to the tendency to make estimates based on an initial anchoring value, thus affecting judgment and estimates. Option A is correct.
Step-by-step explanation:
The anchoring heuristic does not involve making decisions from information readily available in memory. That definition refers to the availability heuristic, not the anchoring heuristic.
The anchoring heuristic, or anchoring bias, in fact, involves making decisions based on an initial piece of information, such as a value, price, or quantity, that serves as an anchor and affects subsequent judgments and estimates, even if the initial number is arbitrary.
For example, in a study by Tversky and Kahneman, subjects given an initial high value estimated the number of African nations in the United Nations to be significantly higher than those given a low initial value.
This clearly shows that the initial value, or anchor, influenced their subsequent estimates. When making decisions, it's important to be aware of anchoring bias to avoid over-reliance on initial information that might skew our judgment.
It is distinct from the availability heuristic, which involves making decisions based on the most easily recalled information.