The Decision Making Guide: How To Make Smart Decisions And Avoid Making Bad Ones

What is decision making?

Let's define decision making. It's exactly what it says it's the act or process that involves making decisions. Although we can make rational decisions sometimes but there are instances where we make emotionally or irrational decisions that are difficult to understand. This page covers why we make bad decisions and offers useful frameworks to help expand your decision-making tools.

The Reasons We Make Bad Decisions

I prefer to think of myself as an intelligent person However, I'm far from an empathetic person. The good thing is that it's not just me or you. We are all irrational. Scientists and economists believed for a long time that rational human beings make well-thought out decisions. Researchers have found a myriad of mental errors that could impede our ability to think clearly in recent years. Below are some articles that will help you understand what is wrong with your thinking track and the best way to fix it.

Common Mental Errors That Sway You from Making the Right Decisions Let's look at the mental errors that show up most frequently in our lives. We'll break them down in easy-to-understand language. This article will explain how the survivorship bias and loss aversion, anchoring, confirmation bias, and the availability heuristic can all hinder you from making wise decision making.

What to do to identify a common mental error that can lead to a Misguided Mindset Psychology studies have demonstrated that we tend to underestimate the significance of events that we easily remember and undervalue the importance of the events that we have difficulty recalling. Psychologists refer to this little brain mistake as an "illusory correlation." In this article, we will talk about a method you can use to spot your hidden assumptions and prevent yourself from making an untrue correlation. Choose the choice you wish to make before heads or tails.

Two Harvard professors have revealed the reason that our brains like to procrastinate. This is due to the fact that we are often concerned about our current selves and do not think about the future self we will look like. You must find ways for your current self to behave in the best interests of your future self if you are looking to overcome procrastination. This article breaks down three easy ways to achieve this.

How to Make Use of Mental Models to Make Smart Decisions

The ability to develop mental models is the most effective way to increase your ability to make decisions by coin toss. A mental model is a theory or framework that helps explain how the world functions. Each mental model represents a notion which helps us understand the world around us and provides a way to look at the issues that arise in our lives.

You can find out more about mental models, read the way Nobel Prize-winning physicist and Nobel Prize winner Richard Feynman makes use of mental models, or peruse some of the most influential mental models here.

Top Mental Models to Improve Decision Making

Margin of Safety: Always Be Prepared for the unexpected

How to solve difficult problems by using the Inversion Technique

Bill Thurston and Elon Musk on Thinking for Yourself