Is the tendency to over-value the effect of small quantitative differences when comparing options.
For example: we think a 1,200 square foot home will make us happier than a 1,000 square foot home. We think earning $70,000 a year will make us happier than earning $60,000 a year.
Mostly encountered in when we are in the situations of buying something new.
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When we make bad decisions is usually because of these 4:
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