Explain the isolation levels, and what each one lets through.
Read uncommitted allows dirty reads — you can see another transaction's uncommitted work. Read committed stops that, but the same query twice can return different rows. Repeatable read pins the rows you have read, and depending on the engine still allows phantoms: new rows matching your predicate. Serializable behaves as if transactions ran one after another. Every level up costs concurrency, in locks or in aborted transactions.
Know your default. Postgres is read committed, and its repeatable read is snapshot isolation, which does prevent phantoms — this is where interviewers separate reading from experience.