Written by Daniel Kahneman. This is another one of those books that alter your reality. It is a thorough overview of how our brains work when it comes to decision making. In many cases, humans actually make absurd or illogical choices simply because of the way our brains are wired. The author even admits that while educating yourself about how you can easily be swayed on a decision based on the way a question was framed, you may still make the same mistakes anyway. Your brain is split into the “intuition mode” which he describes as System 1 and “thinking mode” which is described as System 2. System 1 is susceptible to errors in intuition.
Of many passages I found interesting, here he describes “Loss Aversion” and how it applies to both economics and putting in golf. Loss Aversion is the idea that humans are more fearful of losing something than they are of gaining something of equal value. Another way of describing it is that you would be more upset if you lost $1000 than you would be happy if you gained $1000. Loss aversion might seem obvious to us, but this passage demonstrates how it can have rippling effects far beyond what we may imagine:
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