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📖 DAILY BOOK SUMMARIES 📖 🔗 DIRECT FREE E-BOOK DOWNLOAD LINK AVAILABLE — https://drive.google.com/file/d/18xOMsRbe8b4vP3zYKobcbsDj4FWlRcMi/view?usp=drivesdk 🔥 Thinking, Fast and Slow 🔥 🚀 20 Lessons By 👉 ✨ Daniel Kahneman ✨ 1. Two Systems of Thinking: • System 1 is fast, intuitive, and automatic; System 2 is slow, deliberate, and analytical. 2. Cognitive Biases Influence Decisions: • Biases like anchoring, availability, and confirmation impact decision-making, often unconsciously. 3. Heuristics Simplify Complex Judgments: • People use mental shortcuts to make decisions quickly but sometimes inaccurately. 4. Overconfidence Effect: • People tend to overestimate their knowledge and judgment, leading to biased conclusions. 5. Prospect Theory and Loss Aversion: • Losses are psychologically more powerful than equivalent gains, influencing risk-taking behavior. 6. Endowment Effect: • People assign higher value to things they own compared to items they don’t own. 7. Framing Effects on Decisions: • How information is presented (framed) influences the choices people make, even if the facts are the same. 8. Anchoring Bias: • Initial exposure to a number or idea affects subsequent judgments and estimates. 9. Priming Affects Behavior: • Exposure to certain words or images can subconsciously influence behavior and choices. 10. Understanding Regression to the Mean: • Extreme performances or events are likely to be followed by more typical outcomes, but this concept is often misunderstood. 11. Planning Fallacy: • People tend to underestimate the time, costs, and risks of future actions, even with past experience showing otherwise. 12. Availability Heuristic: • People judge the probability of events by how easily examples come to mind, which can skew risk assessment. 13. Halo Effect: • An initial positive impression in one area leads to an overall positive perception, even in unrelated areas. 14. Sunk Cost Fallacy: • People irrationally continue investing in a losing endeavor because of prior investment, rather than cutting losses. 15. WYSIATI (What You See Is All There Is): • People make decisions based only on the information they have, ignoring what they don’t know. 16. Optimism Bias: • People tend to be overly optimistic about their own outcomes, often underestimating risks or difficulties. 17. Substitution: • When faced with a difficult question, people often answer an easier question instead, without realizing it. 18. Representativeness Heuristic: • People judge probabilities based on how much something resembles a typical case, which can lead to stereotyping. 19. Base Rate Neglect: • People often ignore general statistical information (base rates) in favor of specific information, leading to flawed judgments. 20. Remembering vs. Experiencing Self: • People’s memories of an experience often differ from what they actually felt at the time, affecting future decisions.