Game Theory: Definition & Examples
Game theory is the study of strategic decision making between individuals.
Behavioural Economics
The study of how psychological and emotional factors affect economic decision making among consumers and businesses.
Bounded Rationality: Definition & Examples
Bounded rationality highlights the limitations of humans’ ability to make optimal decisions.
Anchoring Bias: Definition & Examples
Anchoring is a cognitive bias where a specific piece of information is relied upon to make a decision.
Framing Effect: What it is, Types & Examples
The framing effect is a cognitive bias that impacts our decision making when said if different ways. In other words, we are influenced by how the same fact or question is presented.
Nash Equilibrium: Definition, Limitations & Example
Nash equilibrium refers to the situation whereby a group of individuals choose the most optimal strategy and do not deviate from that initial decision. Individuals stick to the initial decision in the knowledge that all other options are inferior.
Fundamental Attribution Error: (What it is & 3 Examples)
The fundamental attribution error is where we think the cause of an individuals action is because of their personality. However, it is in fact due to something else.
Confirmation Bias: Definition & Examples
Confirmation bias occurs when people deliberately exclude or place less weight on new evidence which contradicts existing beliefs.
