The Decoy Effect

The Decoy Effect

The Decoy Effect By 14 min Read The decoy effect explains how, when faced with a decision between two options, the presence of a third, less desirable option (the decoy) might impact how we view the first two options. Decoys are “asymmetrically dominated”:...
The Anchoring Effect

The Anchoring Effect

The Anchoring Effect By 14 min Read The anchoring effect is a type of cognitive bias—a systematic error in thinking that influences people’s judgment and decision-making—and refers to the propensity for people to place a lot of weight on the first piece of information...