Audio available in app
Be mindful of the gambler's fallacy from "summary" of The Art of Thinking Clearly by Rolf Dobelli
In the casino, there is a trap waiting for you: the gambler's fallacy. It is the belief that past random events can influence future random events. Let me explain. Suppose you are playing roulette and the ball has landed on black ten times in a row. You may start to think that red is "due" and bet on red. This is a mistake. The ball has no memory. Each spin is independent of the last. The odds are always the same: 18/37 for red, 18/37 for black, and 1/37 for zero. The same goes for a coin toss. If you toss a coin and it lands on heads five times in a row, the chance that it will land on tails the next time is still 5...Similar Posts
Knowledge is our most precious possession
In the grand cosmic dance of particles and forces, we humans are but a fleeting moment of consciousness. Our existence is fragi...
Behavioral economics challenges traditional economic theories
Traditional economic theories assume that people are rational decision-makers who always act in their best self-interest. Howev...
Income inequality is a growing concern
There is a growing unease among many people about the increasingly uneven distribution of income. The gap between the wealthy f...
Research in behavioral finance continues to evolve
The field of behavioral finance is constantly changing and adapting to new research findings and insights. As researchers delve...
Embrace feedback as a learning opportunity
Feedback is a gift, even when it comes wrapped in critical language. It is a chance to learn and grow, to see ourselves through...
Welcome randomness and unpredictability
Embracing randomness and unpredictability is not simply a passive acceptance of these forces, but an active invitation to utili...
Money magnifies whoever you are
Money has a way of revealing who we truly are deep down. It has this unique ability to amplify our character, values, and behav...
Mindfulness can improve workplace effectiveness
Mindfulness involves paying attention in a particular way: on purpose, in the present moment, and nonjudgmentally. When we are ...
Mind your biases
Our brains are incredible machines, capable of processing vast amounts of information in a short amount of time. But they are a...
Understanding our emotions around money is crucial
Understanding our emotions around money is crucial because it impacts our financial decisions in ways we may not even realize. ...