Every PSYCHOLOGICAL Mind Trap Explained in 13 Minutes

the ostrich effect the ostrich effect is when you ignore negative information or feedback like an ostrich burying its head in the sand like not checking your bank account because you don't want to see how much you've spent to counter this regularly review your situation even if it's uncomfortable inability to close doors the inability to close doors is the difficulty in making decisions due to the fear of missing out on other opportunities for example you work on three business ideas at once you know that focusing on one one is much more effective but you don't want

to lose all the progress on the other two so you keep working on all three and keep getting no results or average results focus on one thing the contrast effect the contrast effect is when your judgment of one thing is affected by a recent exposure to something else for example some Realtors intentionally start by showing you a house in terrible condition before they show you the actual house they want to sell the actual house looks amazing in comparison making you like it more chauffeur knowledge chauffeur knowledge is when someone seems knowledgeable and confident but lacks

genuine expertise in a subject such people are similar to how a parrot memorizes a few phrases and repeats them over and over to identify such people ask more questions because they can't provide deeper insights the Ikea effect the Ikea effect is when you value something more because you put effort into creating it like Furniture you assemble yourself to avoid overvaluing your work get external feedback this helps you see the real value of your efforts and make objective decisions the curse of specificity the curse of specificity is when extremely detailed information seems more persuasive even if

it's irrelevant for example right now it's 8:16 in the evening I'm in Starbucks sitting in the corner in a soft yellow armchair the aroma of coffee and the soft music are amazing I'm drinking a warm delicious cappuccino while typing the script on my laptop okay right now you can probably picture me sitting in that yellow armchair you might have believed me as well but the truth is I made it up I'm at home trying to concentrate on this script while my 5-year-old daughter is screaming in the other room for some reason the spotlight effect the

spotlight effect is when you think people notice your appearance mistakes or behavior more than they actually do to avoid this remind yourself that others are usually tooo focused on themselves to notice minor things about you this reduces anxiety and helps you focus on what you are doing the halo effect the halo effect is when your impression of someone in one area influences your opinion of them in other areas like thinking someone is trustworthy because they dress well or they are good-look to avoid this judge each situation or decision on its own facts reciprocity reciprocity is

when you feel obliged to give back when someone gives you you something like feeling you must buy from a store because you got a free sample to avoid such influence recognize when you're acting out of obligation rather than genuine desire the self-serving bias the self-serving bias is when you credit yourself for successes but blame external factors for failures like thinking your win was all skill but your loss was just bad luck to avoid this practice taking responsibility for your actions both good and bad the dito effect the dito effect is when acquiring a new possess

session leads to a spiral of additional purchases such as buying a new outfit and then filling the need to upgrade other items to match to avoid this be mindful of how one purchase can influence your overall spending the anchoring effect the anchoring effect is when your first impression or an initial number shapes your subsequent thinking for example thinking a $50 shirt is cheap because you saw a similar one for $200 first always view offers and decisions independently not just in comparison to the First Option you see negativity bias negativity bias is when you pay more

attention to negative events than positive ones for example I would read 100 comments under my videos and 99 of them would be positive and only one negative guess which comment I end up remembering and thinking about yep you're right that one comment from some random guy who probably has nothing going on in his life and spends his whole day in his pajamas sitting in his messy room arguing with people on the internet now that I say this I realize how ridiculous it sounds but most of us are programmed to focus on the negative to counter

this we consciously need to shift our perspective to positive events and be grateful the sunk cost fallacy the sunk cost fallacy is when you keep doing something just because you've already invested a lot in it not because it's the best choice right now this is like continuing to eat a terrible meal just because you paid for it to beat this think about what's the best action starting from today your investment or business decisions need to be based on potential future returns rather than past costs the Paradox of choice the Paradox of choice is when having

too many options makes it harder to make a decision for example have you felt overwhelmed while choosing from a menu with 50 dishes to counter this limit your own options and the options you give to others for example if you're selling three products mentioning the one that is the best seller can simplify the decision-making process and lead to a sale the framing effect the framing effect is when your decisions are influenced by how information is presented for instance imagine a doctor says there's a 90% chance you will survive but now imagine the doctor says there

is a 10% chance you'll die both statements mean the same thing but you would feel terrible in the second case always consider facts from multiple perspectives before making a decision the end of History illusion the end of History illusion is when you believe that who you are now is who you'll be forever to counter this embrace the idea of change recognize that your preferences and beliefs will change and that's okay the pigan effect the pigmalion effect is when a higher expectation from yourself leads to an increase in performance for example if you aim to achieve

your one-year goal in 3 months your performance will significantly increase there's a book on this channel titled 12we year which explains how to do that consistency principle the consistency principle is based on the desire to be consistent with what we have previously said or done for instance if you tell your friends that you plan to start exercising regularly you're more likely to stick to it that's why finding someone to hold you accountable can significantly enhance your commitment to your goals the planning fallacy the planning fallacy is when you underestimate how long it will take to

do something like thinking you can clean your whole house in an hour to avoid this always add some extra time this helps you plan your day better and reduce stress confirmation bias confirmation bias is when people only notice things that support what they already believe for example if you think your favorite soccer team is the best you might only notice the games they win to avoid this actively look for information that challenges your views this helps you make decisions based on all the facts not just what you want to believe the bandwagon effect the bandwagon

effect is copying what others do like buying a trendy phone just because everyone else has it not because you need it to avoid this ask yourself why you're making a decision is it really what you want or are you following the crowd the done and Krueger effect the done and Krueger effect is when people with less skill or knowledge overestimate their ability this is like reading a few famous books on investing and believing that you now know it all to avoid this especially when making important decisions consult with experts loss aversion loss aversion is when

the fear of losing something motivates you more than the potential gain like not investing in a good opportunity because you're scared to lose money to beat this focus on what you could gain not just what you could lose the decoy effect the decoy effect is when your preference between two options changes when a third less attractive option is introduced like choosing a medium popcorn because it seems cheaper compared to the large one to avoid this evaluate each option alone this helps you to choose what you really want not just what seems like a better deal

in comparison the availability heuristic the availability heuristic is when you judge the likelihood of events based on how easily you can remember them you might believe plane crashes are common simply because it has been on the news a lot recently to avoid this look for actual facts and statistics before making a decision the gambler's fallacy the gamblers fallacy is when you think past events affect future ones especially in random situations like thinking you're about to win after losing a coin toss several times remember that each event is independent especially in random scenarios this helps you

make decisions based on logic not not false patterns the hindsight bias the hindsight bias is when you believe after an event has occurred that you predicted it even though you didn't like after a game saying you knew the outcome all along the reactant bias the reactant bias is when you want to do the opposite of what you're told because you feel your freedom is being threatened like not wanting to wear a seat belt just because a sign says You must to avoid this focus on why the action is beneficial for you not because you're being

told to do it action bias action bias is when you feel pressured to act even when doing nothing is a better choice like feeling you must do something in a slow business period when waiting might be wiser to avoid this consider the benefits of patience and not acting Sometimes the best action is no action survivorship bias survivorship bias is when you only notice the big successes and forget about the struggles and failures it's like thinking that having your own business means wearing suits and sitting in fancy offices just because that's what you see in the

media you don't see the sleepless nights arguments with their Partners tough decisions and risks they took to get there before jumping into a new business research both sides to get a real view the unity principle the unity principle is when you're more persuaded by people who you feel are part of your group like trusting a product more if the person selling it comes from your hometown to avoid it make your decisions based on the information not just on who is presenting it the zynic effect the zaric effect is when you remember uncompleted tasks better than

completed ones for example constantly thinking about a report that you need to finish to use this to your advantage organize tomorrow today every day at lunchtime take a few minutes to plan your next day the moment you create a plan your subconscious mind goes to work on it in the background when you wake up the next day you will have a clear to-do list plus plus some creative ideas the bystander effect the bystander effect is when you're less likely to help someone in need when others are present for example not speaking up in a meeting

because you think someone else will avoid sending an email or a request to a group of people and saying hi can someone please help me everyone will probably ignore it thinking somebody else will help address your request to a specific person instead the ambiguity effect the ambiguity effect is essentially our tendency to avoid choices that are unclear even if they might lead to better results for example when you are in a restaurant instead of trying a new dish that you might end up loving you go for the same average meal you always order assess the

risks and benefits of ambiguous options sometimes taking well-calculated risks can lead to significant rewards the curse of knowledge the curse of knowledge is when you assume others know what you know leading to unclear communication to avoid this put yourself in your audience audience's shoes and imagine what it was like when you were a beginner picture what it was like not knowing it explain it as if you are explaining it to your younger self illusion of averages the illusion of averages is the mistaken belief that average numbers always reveal the full story for example you're in

a car with two of your best friends suddenly your friend's friend joins you as well and he turns out to be Elon Musk now can you tell me what the average wealth in that car is you see it's nonsense to talk about averages in this case that is why Always dig deeper especially in business and investing depending on the size of the data averages might mean nothing the endowment effect the endowment effect is when you value something more just because you own it like not throwing away your old clothes despite the fact that you don't

wear them anymore and there is no space on the Shelf to avoid this see things from an outsider's perspective many of the principles mentioned in this video are covered in my long form videos if you want to learn more check out the playlist you see on your screen thanks for watching