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The irrationality of human decisionmaking from "summary" of Alchemy by Rory Sutherland
Humans are not always rational beings. In fact, we often make decisions based on emotions, biases, and heuristics rather than complete logic. This irrationality of decision-making is a fascinating aspect of human behavior that has puzzled psychologists and economists for years. Our decisions are influenced by a variety of factors, including our emotions, social norms, and cognitive biases. We often rely on mental shortcuts, or heuristics, to make decisions quickly and efficiently. These shortcuts can sometimes lead us astray, causing us to make irrational choices that go against our best interests. One example of this irrationality is the concept of loss aversion. People tend to fear losses more than they value equivalent gains, leading them to make decisions that are not always in their best interest. This bias can have a significant i...
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