Category: MentalModel
-
Don’t get fooled by randomness (or mis- or disinformation)
The mind tricks us into seeing patterns when there are none. This causes all kinds of problems. According to Nassim Taleb, people routinely mistake luck for skill, randomness for determination, and misinformation for fact. These are the factors that cause us to process information incorrectly, and distort our views of the world: All-or-nothing view We…
-
What Six Colorful Hats Can Teach Us About Working in Groups
This is how a group of people can solve a problem without arguments. Think about all the times you’ve been in a team meeting, dealing with some issue. Everyone goes in with the best intentions, but the team members quickly form their own ideas of what needs to be done, argue about why everyone else…
-
Arguments Don’t Add Up. They Average Out.
What’s the best way to win an argument? If you think it’s by coming up with as many reasons why you’re right as you can, you’re wrong. This seems counterintuitive at first. Surely the way to make a case stronger is by adding more arguments in favour? But the person you’re trying to convince doesn’t…
-
Mimetic Desire: a philosophy for asset bubbles and FOMO
Tulip Mania. The Roaring Twenties. The Dotcom Bubble. Bitcoin.
-
Nudge Theory: how a little psychology can go a long way
This is how you can change people’s behaviour without anyone realising. In a perfect economy, people faced with a decision would choose the best, most rational option for them, every time. What’s more, the more choices you give to people, the better their decisions will be. We all know the world doesn’t work like that.…