Tagged: daniel kahnemann

The Halo Effect

The halo effect, also known as physical attractiveness stereotype, refers to the tendency to use one trait of a person or thing to pass an overall judgment of them. For instance, attractive people may look smart and honest without any logical reasons.

Cognitive Biases

The Sunk Cost Fallacy: Persisting on the past

The Sunk Cost Fallacy refers to the situation where past investments prohibit us from pulling out of something that we have put effort into. According to Arkes and Blumer, “the Sunk Cost Effect is manifested in a greater tendency to continue an endeavor once an investment in money, effort, or time has been made.”