MGT 125 Lecture Notes - Lecture 18: Session 9, Confirmation Bias, Randomness
15 Sep 2020
School
Department
Course
Professor
Document Summary
The mechanism of coordination is not clearly known. Executive mind -> instrumental (calculative) mind (iq) Overconfidence bias (or dunning-kruger effect) - tendency for unskilled individuals to overestimate their own ability and the tendency for experts to underestimate their own ability. Anchoring bias - fixating on initial information as a starting point and failing to adequately adjust for subsequent information. Confirmation bias - tendency to search for, interpret, focus on, and remember information in a way that reaffirms one"s preconceptions, and discount information that contradicts past judgments. Availability bias - tendency to base judgments on information that is readily available. Escalation of commitment - staying with a decision even when there is clear evidence that it"s wrong (sunk-costs bias) Randomness error - tendency to believe we can predict the outcome of random events. Hindsight bias - tendency to believe falsely that one has accurately predicted the outcome of an event, after that outcome is actually known.
