1) One of the most fascinating things in this class to me is the question of why dont human beings learn from our mistakes more.

1) One of the most fascinating things in this class to me is the question of why don’t human beings learn from our mistakes more. We seem to make the same mistakes over and over again. In your own life give me one example of how you were guilty of:

  1. Self-attribution bias
  2. Hindsight bias
  3. Confirmation bias
  4. Cognitive dissonance

If you can’t think of examples where you yourself have done this—maybe you can think of examples from your friends and family.

2) Watch this short video (3 minutes or so) (https://www.youtube.com/watch?v=O567TMy9E5k). In order to safeguard your portfolio from overconfidence, what does he recommend? Why? He gives four recommendations.

3) Watch Robert Shiller (Professor at Yale and Nobel Laureate) teaching a bit in this video: https://www.youtube.com/watch?v=chSHqogx2CI

Then Watch the above video from 57:17 to minute 1:05:20 or so (so about 8 minutes total). This video is about cognitive dissonance. Tell me what did find out about financial advisors? Why did the advisors to this?

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