Question: In the book Thinking, Fast and Slow, Daniel Kahneman (2011) discusses in detail the two-system theory of cognitive thinking. These systems are comprised of System
In the book Thinking, Fast and Slow, Daniel Kahneman (2011) discusses in detail the two-system theory of cognitive thinking. These systems are comprised of System 1, which Kahneman (2011) explains is quick, intuitive, and reactionary, and System 1, which he describes to be more intentional, logical, and deliberate. One of the major cognitive biases he explores is the anchoring effect, a phenomenon where individuals place heavy reliance on an initial piece of information (or the "anchor") when making judgments or decisions (Kahneman, 2011). Kahneman (2011) argues that even when the anchor may seem irrelevant, subjective, or at random, it can still serve to significantly affect reasoning and choices. To demonstrate this, Kahneman (2011) reviewed a study that was performed that shows the power of anchoring with experimental research. In the study, participants were asked to spin a rigged wheel of fortune that would land on either 10 or 65 (Kahneman, 2011). After spinning, they were asked to estimate the percentage of African nations in the United Nations. Those who spun a 10 gave significantly lower estimates than those who spun a 65. The results illustrate how unrelated numerical values can unconsciously influence judgment, even when people may believe they are making rational decisions (Kahneman, 2011)
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