Introduction In the realm of decision-making, our thought processes are often influenced by various mental models. One such intriguing concept is Ergodicity, a mental model deeply rooted in human psychology. Ergodicity refers to the assumption that time-averaged behavior in a system is representative of individual behavior within that system. This model holds significant relevance in […]
Introduction In the realm of decision-making, humans are susceptible to various cognitive biases that can lead to erroneous judgments. One such pervasive mental model is the Gambler’s Fallacy. It refers to the mistaken belief that past events in games of chance, such as gambling or random events, influence future outcomes. Anchored in human psychology, the […]
Introduction In the realm of decision-making, humans often succumb to cognitive biases that lead to irrational judgments and faulty reasoning. One such prevalent mental model is the Hot Hand Fallacy. It refers to the mistaken belief that a person’s success in a particular endeavor, such as sports or investing, is likely to continue in a […]