Category: Behavioral Economics

The Halo Effect | Painting: Saint Lawrence by Bonanat Zaortiga

The Halo Effect

Don’t put people, or anything else, on pedestals, not even your children. Avoid global labels such as genius or weirdo. Realize those closest get the benefit of the doubt and so do the most...

Loss Aversion

“In trying to make sense of this pessimism, Ridley, like Kahneman, sees a combination of cognitive biases and evolutionary psychology as the core of the problem. He fingers loss aversion—a tendency for people to...

The Dunning-Krueger Effect

The Dunning-Krueger Effect

  One of the painful things about our time is that those who feel certainty are stupid, and those with any imagination and understanding are filled with doubt and indecision. Bertrand Russell Ignorance more...