Introduction In the realm of decision-making, the Two Front War mental model serves as a valuable tool for understanding the challenges of simultaneous conflicts or opposing priorities. Derived from military strategy, this concept refers to the notion of fighting battles on multiple fronts concurrently. However, its relevance extends beyond the battlefield, permeating various aspects of […]
Introduction The Perfect Solution Fallacy is a mental model that refers to the tendency to reject viable options or settle for suboptimal choices because they fall short of an ideal or perfect solution. This fallacy arises from our desire for the best possible outcome and our inclination to believe that a perfect solution exists. Understanding […]
Introduction In the realm of decision-making, the 3-6-3 Rule stands as a mental model that can significantly impact our choices. This rule refers to a simplified approach often used in banking and financial institutions, where depositors are promised a 3% interest rate, loans are provided at 6%, and bankers hit the golf course at 3 […]
Introduction In the realm of decision-making, mental models play a crucial role in shaping our perceptions and guiding our choices. One such influential mental model is the Phillips Curve. Coined by economist A.W. Phillips in the 1950s, the Phillips Curve suggests an inverse relationship between unemployment and inflation rates. Understanding this mental model is essential, […]
Introduction In the complex landscape of decision-making, our minds often rely on mental shortcuts and biases that can lead us astray. One such cognitive bias, deeply rooted in human psychology, is the Comparative Advantage mental model. Originally an economic concept, Comparative advantage refers to the ability of individuals, businesses, or nations to produce goods or […]