Category: Behavioral Economics

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...

The confirmation bias

The Confirmation Bias

  Eblis said, “No man who thinks ill, will hear the truth despite a hundred signs.” When one who fantasises is presented with reason his fantasies increase. When one talks to such a person,...

by laurent casimir

The Bandwagon Effect

“The horrible thing about the Two Minutes Hate was not that one was obliged to act a part, but, on the contrary, that it was impossible to avoid joining in. Within thirty seconds any...