Learnings Mental Models

The Minsky Moment: Navigating the Psychology of Decision-Making

Introduction: In the realm of decision-making, a critical turning point known as the Minsky Moment can have profound consequences. Coined by economist Hyman Minsky, this mental model refers to a sudden collapse or crisis that occurs when participants in an economy or market become overly optimistic and take on excessive risk. The Minsky Moment is […]