Confronted with risks and gambles, people often make irrational decisions. This is no surprise—but what makes many of these errors in rationality so interesting is that we make them systematically. We are, to steal Dan Ariely’s…
Tag: <span>loss aversion</span>
In every moment of every day, we’re making predictions. Those predictions are mostly unconscious–we expect to see our bed when we walk into the room, we expect to get running water when we turn the…
Losing sucks, but not losing might suck even more. Consider this gamble: I flip a coin, if it’s heads, you win $100. If it’s tails, you lose $100. Would you take it? Most people would…