Discover the base rate fallacy's impact on investing decisions. Learn how overlooking this cognitive bias can lead to financial misjudgments and market misconceptions.

Editor’s Note: For 31 years now, Paul Solman’s reports on the NewsHour have aimed to make sense of economic news and research for a general audience. Since 2007 ...

Forbes contributors publish independent expert analyses and insights. Bryce Hoffman writes about leadership, strategy, and decision making. The gambler’s fallacy is ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

The sunk cost fallacy addresses the tendency of people to continue on a suboptimal path because they have committed a lot of time or resources to it already. Investors, for example, may double down on ...

Stack fallacy has caused many companies to attempt to capture new markets and fail spectacularly. When you see a database company thinking apps are easy, or a VM company thinking big data is easy — ...

Narrative fallacy is a term introduced by Nassim Taleb [1]. It refers to our difficulty looking at a sequence of facts without connecting them in some way, either to each other or to something else we ...

Breakthroughs, discoveries, and DIY tips sent every weekday. Terms of Service and Privacy Policy. Maybe you’re not a gambler, but you probably have a grasp of the ...

Sen. Rand Paul (R-Ky.) said Wednesday that it is a “fallacy” to think tariffs will help the country’s economy as President Trump gears up to impose massive reciprocal tariffs on U.S. trading partners.

It's difficult to make a rocket if you are one of the first rocket makers. Sometimes, you simply don't know the best way to design a rocket so you just have to pick something. This is exactly what ...