Cognitive Biases in Decision Making

Prior Hypothesis Bias = Occurs when decision-makers make decisions based on strong prior beliefs despite evidence Escalating Commitment = Occurs when decision makers commit more resources to a failing project after already investing resources Representativeness = Rooted in the tendency to generalize from a small sample or vivid anecdote Illusion of Control = Rooted in the tendency to overestimate one's ability to control events

Reasoning by Analogy = Involves using simple analogies to understand complex problems Devil’s Advocacy = Technique where one acts as a devil's advocate bringing out reasons a proposal may be unacceptable Cognitive Biases = Systematic errors in human decision making arising from how information is processed CSS = Styling web pages

Prior Hypothesis Bias = Making decisions based on political beliefs despite factual information Representativeness = Believing all members of a group have the same opinion as a vocal minority Devil’s Advocacy = Pointing out flaws in an argument to ensure all perspectives are considered Cognitive Biases = Errors in judgment that lead to suboptimal decisions

<p>Escalating Commitment = Investing more money into a failing business venture despite increasing losses Reasoning by Analogy = Using similarities between two situations to solve a problem in an unrelated field Illusion of Control = Feeling confident in predicting the outcome of unpredictable events CSS = Styling web pages</p> Signup and view all the answers

<p>Prior Hypothesis Bias</p> Signup and view all the answers

<p>Escalating Commitment</p> Signup and view all the answers

<p>Reasoning by Analogy</p> Signup and view all the answers

<p>Representativeness</p> Signup and view all the answers

<p>Illusion of Control</p> Signup and view all the answers

<p>Devil’s Advocacy</p> Signup and view all the answers