Human beings are prone to cognitive errors, or barriers to clear, logical thinking. Everyone experiences flawed patterns in the process of reasoning. In fact, many of these common mistakes have a history that goes back centuries. Even experts fall prey to such glitches, which might explain why supposedly savvy financiers hold investments for too long. Identifying “systematic cognitive errors” will help you avoid them. Becoming familiar with these pitfalls will improve your ability to make astute decisions. Below are selections of cognitive errors to avoid their consequences:
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Dobelli shared some common thinking mistakes. Knowing these errors won’t help you avoid them completely, but it will help you make better decisions – or at least teach you where you slipped.
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