Basic Psychology

Cognitive Biases

Our brains take mental shortcuts that sometimes lead us astray. Understanding these biases helps us make better decisions.

Confirmation Bias

What it is: We tend to seek out and remember information that confirms what we already believe, while ignoring contradicting evidence.

People consistently see bias in others while believing they themselves are objective^[1].

Anchoring Effect

What it is: The first piece of information we hear disproportionately influences our judgment, even if it's irrelevant.

Anchoring affects our judgments even when we know the anchor is arbitrary^[2].

Sunk Cost Fallacy

What it is: We continue investing in something because of what we've already put in, even when it's rational to stop.

The sunk cost effect is driven by emotional reactions to "wasted" investment^[3]. Example: Finishing a bad movie because you paid for it.

Dunning-Kruger Effect

What it is: People with limited knowledge tend to overestimate their competence, while experts often underestimate theirs.

Studies show those with least knowledge often have highest confidence^[4].

Decision Making

Loss Aversion

We feel losses more intensely than equivalent gains^[5]. Losing $100 feels worse than gaining $100 feels good.

Self-Control

The ability to delay gratification varies significantly and develops with age^[6]. The famous "marshmallow test" showed children who could wait for two treats often had better outcomes later in life – though recent replications suggest the effect is smaller than originally thought.

Mind and Body

The Placebo Effect

Placebo^ⓘ

This isn't "just in your head." Placebos can trigger genuine physiological changes. Understanding this helps explain why alternative medicine sometimes "works."

Emotional Regulation

How we manage our emotions affects mental health outcomes^[8].

Common strategies:

• Reappraisal – Reframing how you think about a situation (healthier)
• Suppression – Hiding emotions (less effective long-term)
• Avoidance – Avoiding emotional situations (often counterproductive)

Practical Takeaways

• Consider the opposite: When you form an opinion, deliberately look for evidence against it
• Watch for anchors: When negotiating or estimating, be aware of the first number mentioned
• Evaluate sunk costs: Ask "Would I start this now?" rather than "How much have I invested?"
• Question confidence: High certainty isn't proof of correctness – sometimes it's a warning sign
• Acknowledge emotions: Suppressing feelings is usually less effective than understanding and reframing them

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