Anchor bias

What is Anchor Bias?

Anchor bias is a cognitive bias that occurs when people rely too heavily on initial information provided, which can lead to inaccurate judgments and decisions. It is a form of cognitive bias in which an individual’s initial impression of a situation is difficult to overcome, regardless of the facts and evidence presented. This bias can affect decisions in many areas of life, from business to politics to personal relationships.

Examples of Anchor Bias

Anchor bias can be seen in many situations, such as when:

  • Making an offer on a house or other property: The initial asking price sets the anchor, and it’s difficult to convince the seller to budge even if the market value is lower.
  • Job negotiations: The initial salary offer sets the anchor, and it’s difficult to convince the employer to increase the offer even if the value of the job is higher.
  • Voting decisions: The initial opinion sets the anchor, and it’s difficult to convince the voter to change their mind even if the facts and evidence presented contradict their initial opinion.

How to Avoid Anchor Bias

Anchor bias can be avoided by taking the time to consider all the facts and evidence before making a decision. It is important to be aware of biases that may be influencing decisions and to be open to new information and perspectives. Additionally, it is important to be aware of how the initial information is being used as an anchor and to take a step back to objectively assess the situation.

Conclusion

Anchor bias can have a significant impact on decisions, so it is important to be aware of its potential influence and to take steps to avoid it. By taking the time to consider all the facts and evidence before making a decision, it is possible to make more informed decisions.

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