What are some examples of bias in decision-making?

What are some examples of bias in decision-making?

There are several types of biases that can affect decision-making, such as confirmation bias, where individuals favor information that confirms their existing beliefs.

Can you explain confirmation bias with an example?

Sure! For instance, if someone believes that a particular diet is effective, they may only seek out success stories and ignore evidence that suggests otherwise.

What about anchoring bias?

Anchoring bias occurs when individuals rely too heavily on the first piece of information they encounter. For example, if a car is initially priced at $30,000 and then discounted to $25,000, buyers may perceive it as a better deal than if it were priced at $25,000 from the start.

How can we reduce these biases in our decision-making?

To reduce biases, it's important to seek diverse perspectives, question your assumptions, and rely on data-driven analysis rather than gut feelings.