Overconfidence and Endowment effects

Another excellent lecture today, as people were sitting on the floor to try to grasp the sweet words that trickled from professor Wahlunds tender mouth. The lessons learned were many. Here's the summary.

Overconfidence:

• Small probabilities
• Base rate bias
• More credible statement or correlation sounds
• The more information we have, the more confident we are, even if the information is irrelevant or lessens the probabilityof the event.
  
• The more people or media who asserts
• Men more than women

Endowment effect

1. Feel affection
2. Care about sunk costs
3. Status quo bias
4. Debt aversion
5. Trend illusion
6. Confirmation bias
   

Professor Barry Schwartz adresses the paradox of choice below in a famous TED talk:

Summary lecture 4

Hi guys, this so far unnamed lecture touched upon the Subjectivity of Money, the importance of Roles and Mental Accounting.
Some key lessons:

Decision processes can be manipulated by:

• Using high or low reference points (anchoring)
• Framing decisions as losses or gains
• People are more loss-averse than gain-seeking
  

Below you will find an interesting lecture by Richard Thaler, the person who pioneered theory on mental accounting.

Social Media Insights

Here comes our collaborative document on Richard Gatarski's presentation on Social Media Insights. Some of the lessons learned:

• Technology now lets us share more than facts; experiences, feelings or thoughts are easily shared using text, audio and video.
• Media is not just about communication, it's about conversation 
• Machines are more than media - they are actors (and should be analyzed as such)
• Transparency is a must in future media. Privacy will be redefined, and tolerance will probably be higher.