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Cognitive Bias

Cognitive bias: Gambler’s Fallacy

You need to recruit a junior manager for your retail department.  You know that a lot of people are qualified for this

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Cognitive Bias: Conjunction Fallacy

We work in an international import/export firm with an extremely large distribution of our products worldwide. We have just received

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Cognitive Bias: The Law of Small Numbers

A study carried out by an eminent institution in a poor, tropical country reveals that 20% of the inhabitants of a small

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Cognitive Bias: Simultaneous vs. Sequential Choice

Cognitive Bias: Simultaneous vs. Sequential Choice

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Cognitive Bias: Familiarity Bias

Do you prefer to bet on the decrease of the Dow Jones or the CAC40 on the first of next September? These

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Cognitive Bias: Base Rate Fallacy

If a test to detect a disease whose prevalence is 1/1000 has a false positive rate of 5%, what is the chance

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Cognitive Bias: The framing effect

You are the head of an industrial company operating 600 plants with severe economic problems. After discussion with your strategic

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Cognitive Bias: Syllogism

Diversified portfolios have lower risk. Some low-risk portfolios are constituted of Treasury Securities. Therefore, some diversified portfolios

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