Thinking, Fast and SlowHow We Make Decisions, And How To Make

The Right Ones

Not my ideas...Daniel KahnemanSenior Scholar,

Princeton UniversityNobel Prize for

Economics, 2002

A Tale Of Two SystemsSystem A

Fast, intuitive, subconsciousSystem B

Slow, analytical, directed

System AAlways workingLooking for patternsBiases

System BAnalyticalLess biasedCan be overwhelmedLazy

ExampleA bat and a ball together costs £1.10The bat costs £1 more than the ballHow much does the ball cost?

The Answer...System A: 10pSystem B: 5p

PrimingAssemble sentences using four words out of

fivefinds he it yellow instantlygrey was round hair his

Cognitive Ease

Adolf Hitler was born in 1892Adolf Hitler was born in 1887

Familiaritykadirgasaricikbiwonjninansomaiktitaf

Halo EffectAlan: intelligent, industrious, impulsive, critical, stubborn, envious

Ben: envious, stubborn, critical, impulsive, industrious, intelligent

AnchoringWas Gandhi more or less than 141 years old when he died?

How old was Gandhi when he died?

Anchoring With Irrelevant InformationRigged wheel of fortuneAlways 10 or 65Write down the number“Is the percentage of African

nations in the UN higher or lower than this?”

“What is the percentage?”

So… What Can We Do?You can’t stop System 1You shouldn’t stop System 1Be aware of System 1 biases

Watch Out For BiasesPrimingCognitive EaseFamiliarityHalo EffectAnchoring

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