7 Psychological Effects That Rule Your Whole Life

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  • Published on:  Sunday, June 16, 2019
  • Did you know you could sell a $20 bill for ten times its value? Or that a person you’re physically attracted to may not be as smart and funny as you think? Or that the only reason why there’s this third option on the market is to create the decoy? All these things are called cognitive biases, and they rule your entire life without you even knowing it. Here are some of the most prominent ones.

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    Phenomenon of Max Bazerman 0:25
    Decoy effect 2:23
    Halo effect 4:00
    Framing effect 5:00
    Illusion of control 6:05
    Dr. Fox effect 7:45
    Spotlight effect 9:17

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    - How hard could it be to take 20 bucks from an MBA student? In fact, Professor Max Bazerman proves it’s easy-peasy. In 2010, he first conducted an experiment at his class where he organized a simple auction: he would give a $20 bill to the student who pays the most money for it. The $20 bill was sold for $204.
    - The only reason why there’s this third option on the market is to create this decoy to make you buy a more expensive product.
    - You may not notice this, but when you see an attractive person, you tend to exaggerate their good traits of character. And that’s the gist of the halo effect.
    - We tend to prefer an option that is described in a positive way. Even if the only other option is absolutely the same, people will likely disregard it because it’s been given a negative description.
    - Although a situation can be completely random, people tend to think their choice somehow affects the results. We like to be in control of everything, don’t we?
    - The positive attitude and liveliness of a person can completely fool a whole audience of highly educated specialists. If you ever heard motivational speakers and got inspired by their ideas… well, chances are that you’ve also experienced the Dr. Fox effect.
    - If you’ve ever felt self-conscious leaving your house in different socks, worrying that everyone would laugh and point fingers at you, you’ve become a victim of the spotlight effect. It’s a psychological bias that basically makes you think too much of yourself.

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  • Source: https://youtu.be/Yc6aIH5JgBw