How does valuation bias relate to the use of technology in appraisal?
Correct Answer
D) Tools can carry forward bias in their source data
Why this is correct: The governing concept is that technology and models are not inherently neutral; they reflect the data used to create them. If historical data contains biases (e.g., from past discriminatory practices), a model trained on that data can perpetuate those biases in its outputs. Why the other choices are wrong: "Technology eliminates the possibility of bias" is wrong; technology can embed and amplify bias. "Bias concerns apply only to human judgment" is wrong; both human and algorithmic processes can be biased. "Automated output requires no bias review at all" is wrong; appraisers must review all tools and data for potential bias. Exam tip: "Garbage in, garbage out" applies to bias as well as data errors. Always consider the source and history of your data.
Why This Is the Correct Answer
Why this is correct: The governing concept is that technology and models are not inherently neutral; they reflect the data used to create them. If historical data contains biases (e.g., from past discriminatory practices), a model trained on that data can perpetuate those biases in its outputs. Why the other choices are wrong: "Technology eliminates the possibility of bias" is wrong; technology can embed and amplify bias. "Bias concerns apply only to human judgment" is wrong; both human and algorithmic processes can be biased. "Automated output requires no bias review at all" is wrong; appraisers must review all tools and data for potential bias. Exam tip: "Garbage in, garbage out" applies to bias as well as data errors. Always consider the source and history of your data.
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