It shows the subconscious brain behind what we consider to be ourselves. We have two systems – one that is emotional, moves quickly and is intuitive. The second is mired in logic and deliberation. This book shows how the systems work and how this can affect our lives - for better and for worse.
Recommended reading for…
Anyone who wants to take these base layer human instincts and understand them in the context their business or their life. There are cognitive biases in just about everything we do. Being aware of them and considering them in decision making can refine what we do as people.
The main takeaway from this book is that even when circumstances and conditions change, human nature remains pretty much the same. Applied to investment, as much of this book is, then this explains booms and busts in financial markets. Understanding the cognitive biases can change the way you invest, do business and interact with others.
“This is the essence of intuitive heuristics: when faced with a difficult question, we often answer an easier one instead, usually without noticing the substitution.”
“A reliable way to make people believe in falsehoods is frequent repetition, because familiarity is not easily distinguished from truth.”
“Mood evidently affects the operation of System 1: when we are uncomfortable and unhappy, we lose touch with our intuition.”
A fascinating insight into how our minds influence our decisions even when we are not totally aware of it. Written by a Nobel prize winner, Thinking, Fast and Slow works on so many levels for someone who wants to know more, improve their game and understand interactions with others.
Richard Evans – Client Services Director