ConceptsNest

  ***Continued from Chapter 01 (Covered previously: Meaning, Progressive & Degenerative impact, Loss Aversion, Psychological Roots) Link to Chapter 01 Forms in which Scarcity Mindset may Manifest A) Believing That Situations Are Permanent : . . . . . . . . . . We think “Well, that’s just the way it is” instead of changing our frame of mind and seeking out our own happiness. Thinking this way depletes our energy, harms our self-esteem, and makes life a burden in general. Nothing is permanent. There are moments in our lives that will take our breath away. An abundant mentality thinks this way and sees life as dynamic and mouldable ; something that is ours to shape and make to our liking. Perhaps most importantly, an abundant mentality sees life as an adventure. B) Using Thoughts And Words Of Scarcity : . . . . . . . . . . What we tell ourselves ultimately becomes an extension of us if left unchecked. When negative thoughts arise, which is quite natural, one way is to be...

  Most of us can remember playing musical chairs as a child. As the music played and we marched around the circumference of the circle of chairs, we anxiously awaited the music to stop so we could fight for that last seated spot. There was something about that one-on-one physical competition and face-to-face conflict fighting for something tangible that added spice to the game. This is often one of the youngest experiences that we have of a scarcity mentality that can be translated to adult life. Simply put, Scarcity is the condition of having insufficient resources to cope with demand . When we are faced with limited resources, we strive to make effective use of them in the process of making important decisions. Economics is the study of how we use our limited resources (time, money, etc) to achieve our goals. This definition refers to physical scarcity. Once we enter that professional world, that “ every person for (him/her)self ” way of thinking often re-emerges as many peo...

  ***Continued from Chapter 01 (Covered previously: Cognitive Biases and Debiasing, The Debiasing Process) Link to Chapter 01 Various Debiasing Techniques There are a few general debiasing strategies (sometimes referred to as  cognitive-forcing strategies ), which can help deal with many of the cognitive biases. Many of these strategies are interrelated since the underlying principles behind them are similar. A) Develop awareness of cognitive biases: . . . . . . . . . . . . . . . . . .>>   In some cases, simply being aware of a certain bias can help us reduce its impact. For example, consider the  illusion of transparency , a cognitive bias that causes people to overestimate how well others can discern their emotional state, so that they tend to think that other people can tell if they are feeling nervous or anxious even in situations where that is not the case. This happens because our own emotional experience can be so strong, we are sure our emo...

  C ognitive bias mitigation (or Debiasing ) is the practice through which we reduce the influence that cognitive biases have on people, to enable them to think in a more  rational  and  optimal  manner . Cognitive biases  are systematic patterns of  deviation from rationality , which occur  due to the way  our cognitive system works. Cognitive biases affect us in various areas of our life, from the way we interact with others to the way that we form our political opinions. Since these biases cause us to think and act in an irrational manner, their influence can be detrimental, which is why people often want to be able to mitigate them. Examples of Cognitive Biases Cognitive biases can influence our thinking in diverse ways, including the undermentioned: A) Cognitive biases can affect how we form impressions of other people : -. . .  For example, the halo effect  is a cognitive bias that causes our impression of som...

A brief story:   In the summer of 1830, Victor Hugo was facing an impossible deadline. Twelve months earlier, the French author had promised his publisher a new book. But instead of writing, he spent that year pursuing other projects, entertaining guests, and delaying his work. Frustrated, Hugo’s publisher responded by setting a deadline less than six months away. The book had to be finished by February 1831. Hugo concocted a strange plan to beat his procrastination. He collected all his clothes and asked an assistant to lock them away in a large chest. He was left with nothing to wear except a large shawl. Lacking any suitable clothing to go outdoors, he remained in his study and wrote furiously during the fall and winter of 1830. The Hunchback of Notre Dame was published two weeks early on January 14, 1831 . Procrastination is usually a “yes” or “no” question” For more conventional instances, consider addictive behaviour patterns or compulsive traits like over-shoppin...