What Daniel Kahneman Thinks Investors Should Know
Daniel Kahneman gives a great breakdown of 6 cognitive biases and illusions that affect both our everyday lives and our investing success.
Read MoreManaging money well is not so much about how much we know, but more about how we behave. Learning about the psychology of money can provide you with valuable insights into your behavior around finances. Understanding and modifying those behaviors can help you set yourself on a path of financial success.
Daniel Kahneman gives a great breakdown of 6 cognitive biases and illusions that affect both our everyday lives and our investing success.
Read MoreMoney scripts are the unconscious beliefs you have about money. Learn what yours are and how they affect your financial decisions.
Whether you are budgeting or investing, you are grappling with several psychological factors affecting your financial decisions.
Did you know that there are over 175 different cognitive biases? Thankfully, there's an easy way to classify and understand them. Here it is.
Anchoring is a cognitive bias that describes the human tendency to overly rely on the first piece of information we find or is offered to us.
Loss aversion is a cognitive bias, or a systematic pattern of thinking, that refers to our natural inclination to focus on setbacks more than progress.
The Dunning-Kruger effect is a bias whereby people with low ability in a certain area tend to overestimate their capability in that area.
Even though both fallacies and biases are very different from each other, they are both typically concerned with the same issues - errors in reasoning.
Straw man argument is a type of logical fallacy that occurs when someone deliberately distorts or misrepresents their opponent's position.
Ad hominem fallacy is based on personal and irrelevant attacks against the source of an argument instead of addressing the argument itself.
Tu quoque fallacy occurs when someone's argument is discredited solely based on the allegation that their past actions or words are not consistent with their views.
Burden of proof fallacy occurs when one abuses their burden of proof by attempting to shift it to someone else.
Appeal to emotion occurs when someone uses emotional appeals instead of relevant facts and logic to support a claim.
The appeal to authority fallacy occurs when one misuses the testimonies of perceived authorities in an attempt to back up a certain claim or position.
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