As soon as I saw this, I had to share. Not only is it a great example of the endowment effect, it has some important advice for all of our student readers out there.
Often, you’ll hear people say that you should “trust your instincts” when making decisions. But are first instincts always the best?
Psychological research has shown many times that no, they are often no better – any in many cases worse – than a revision or change. Despite enormous popular belief that first instincts are special, dozens of experiments have found that they are not.