Podcast
Questions and Answers
What are the two categories that investing biases can be categorized into?
What are the two categories that investing biases can be categorized into?
- Judgmental Bias and Decisional Bias
- Cognitive Bias and Emotional Bias (correct)
- Logical Bias and Emotional Bias
- Behavioral Bias and Psychological Bias
Which bias refers to the tendency of people to stick to their current situation or decision?
Which bias refers to the tendency of people to stick to their current situation or decision?
- Endowment Bias
- Overconfidence
- Loss Aversion
- Status Quo Bias (correct)
What type of biases are generally easier to mitigate or eliminate?
What type of biases are generally easier to mitigate or eliminate?
- Cognitive Errors (correct)
- Judgmental Biases
- Decisional Errors
- Emotional Biases
Which bias involves people valuing something more when they own it?
Which bias involves people valuing something more when they own it?
Which type of judgment is influenced by impulse, intuition, and feelings rather than facts?
Which type of judgment is influenced by impulse, intuition, and feelings rather than facts?
Which bias involves making decisions based on how the information is presented rather than on the actual information itself?
Which bias involves making decisions based on how the information is presented rather than on the actual information itself?
What is the primary coping mechanism people use in high-controlled situations?
What is the primary coping mechanism people use in high-controlled situations?
How can investors mitigate hindsight bias according to the text?
How can investors mitigate hindsight bias according to the text?
What is the principle that states our choices are influenced by the way things are presented?
What is the principle that states our choices are influenced by the way things are presented?
In what framing do people tend to be risk-averse according to the text?
In what framing do people tend to be risk-averse according to the text?
What is a common outcome of excessive hindsight bias in investors?
What is a common outcome of excessive hindsight bias in investors?
What belief may lead to over-criticizing the performance of others?
What belief may lead to over-criticizing the performance of others?
What bias is Emong exhibiting in his investment decisions?
What bias is Emong exhibiting in his investment decisions?
What does Emong do instead of reading the entries and notes in the company's Balance Sheet?
What does Emong do instead of reading the entries and notes in the company's Balance Sheet?
What is one way to overcome confirmation bias according to the text?
What is one way to overcome confirmation bias according to the text?
Which bias term was first coined by Ellen Langer in her 1975 paper?
Which bias term was first coined by Ellen Langer in her 1975 paper?
What makes Emong overconfident in his investment decisions?
What makes Emong overconfident in his investment decisions?
What should Emong make use of according to the text to have a more comprehensive analysis?
What should Emong make use of according to the text to have a more comprehensive analysis?
What does overconfidence entail?
What does overconfidence entail?
Which bias causes people to prioritize short-term desires over long-term goals?
Which bias causes people to prioritize short-term desires over long-term goals?
What is an example of self-control bias mentioned in the text?
What is an example of self-control bias mentioned in the text?
What does Endowment Bias refer to?
What does Endowment Bias refer to?
Which behavioral economist coined the term 'Endowment Bias'?
Which behavioral economist coined the term 'Endowment Bias'?
What is another name for Endowment Bias as mentioned in the text?
What is another name for Endowment Bias as mentioned in the text?
What does the 'Anchoring Effect' caution against when making purchasing decisions?
What does the 'Anchoring Effect' caution against when making purchasing decisions?
What is the common term used for the mental bias of dividing money into separate categories based on subjective criteria?
What is the common term used for the mental bias of dividing money into separate categories based on subjective criteria?
Why is the mental accounting bias considered a 'fungibility violation'?
Why is the mental accounting bias considered a 'fungibility violation'?
How does separating accounts based on different goals influence spending decisions according to the text?
How does separating accounts based on different goals influence spending decisions according to the text?
What cognitive limitation justifies the practice of mental accounting according to the text?
What cognitive limitation justifies the practice of mental accounting according to the text?
Why do marketers advise against solely considering discounts when making purchasing decisions?
Why do marketers advise against solely considering discounts when making purchasing decisions?
