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Extreme positive and extreme negative events don't actually influence our long-term levels of happiness nearly as much as we think they would. But weย have a strong tendency to overestimate the impact that extreme events will have on our lives.
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It's present when we tend to overestimate the length or intensity of happiness that major events will create. The Impact Bias is one example of affective forecasting, which is a social psychology phenomenon that refers to our generally terrible ability as humans to predict our future emotional states.
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