Here's a List of the Behavioral Economics Principles Included in This Card Deck
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Anchoring Action Goals Availability Bias Decision Paralysis Default Bias Disposition Effect Ego Depletion Endowment Effect Gamification Goal Gradient Theory Herding Here’s a list of Hyperbolic Discounting the Behavioral Lack of Self-Control Economics Limited Attention Principles Loss Aversion Mental Accounting included in this Money Illusion card deck Opportunity Cost Neglect Overconfidence Pain of Paying Payment for Effort Planning Fallacy Power of Free Pre-commitment Procrastination Reciprocity Regret and Counterfactuals Relativity Reward Substitution Scarcity Self-signaling Status Quo Bias Sunk Cost Effect Tunneling What-The-Hell-Effect You Are What You Measure Printing Instructions for BE cards The cards in this PDF might seem like they are out of order. They’re not. This PDF that is formatted so that these cards can be printed. Here’s how to print this PDF to create cards: 1) Print this PDF double-sided When you do this the BE principle will appear on the same card as the corresponding illustration and description. 2) You will have four cards on each page. “Quarter cut” each page to create four cards. 3) We suggest printing these in color on card stock. Anchoring Action-Goals Gap People don’t actually do what People are tied to their first decisions. they intend to do. Decision Paralysis Availability Bias When given too many options, People tend to focus on what people tend to make the easily comes to mind (often easiest decision, which is often vivid or recent events) and give no decision at all. undue weight to those events." Disposition Effect Default Bias People pick the most easiest option to Holding on to poor investments avoid complex decisions. Defaults too long and selling good provide a cognitive shortcut and signal investments too soon. what people are supposed to do. Endowment Effect Ego Depletion People’s ability to make good decisions is based on a limited People overvalue what they own. resource that can be drained by decision overload and fatigue. Goal Gradient Theory Gamification People like to play games and People will work harder to achieve a they will go to great lengths goal as the goal gets closer. playing it even if all they get are points. Hyperbolic+Discoun0ng+ Herding People put an overly high value on the here and now and an People tend to do what others are doing. overly low value on the future. Limited Attention Lack of Self-Control People can only focus on a In general, people have a hard time limited number of things at a deciding between doing what’s good time. This means we may miss for themselves in the future and doing important details. what feels good right now. Mental Accounting Loss Aversion People categorize and treat money People try to prevent losses more differently depending on where it than they try to make gains. came from and where it is going. Opportunity Cost Neglect Money Illusion People confuse actual dollar People tend to ignore what they give amounts with the buying up when they make choices. power of dollars. Pain of Paying Overconfidence Some purchases are more painful than others, and people will try to Everyone believes they are right avoid those types of purchases and everyone believes they are (incremental, cash, separated as a above average. fee, and frequent). Planning Fallacy Payment for Effort People consistently People place greater value on underestimate how long things services and products where will take and how many they can see the amount of resources they will require. effort put into them. Pre-commitment Power of Free Consequences and roadblocks A price of zero is much more you set up to keep yourself on attractive than any other price, track. These are temptation no matter how low. busters. Reciprocity Procrastination People generally do not People often respond to a manage their time well and positive action or gift by constantly wait until the last providing something in return. possible moment to do anything. Relativity Regret & Counterfactuals People evaluate options by People’s satisfaction depends both comparing them to what on outcomes and ideas about else is around. what could have happened. Scarcity Reward Substitution Immediate rewards, which People are motivated by appeal to people’s impulsive shortage. nature, for behaviors that are actually good in the long run. Status Quo Bias Self-Signaling People behave in ways that People are pretty committed to reinforce the type of person they keeping things the way they are. believe themselves to be, even if no one else is around to witness it. Tunneling Sunk Cost Effect If it’s an emergency, we can only Once we invest in a particular think about the emergency. path, our commitment to it grows. You are what you measure The What-The-Hell Effect People repeat behaviors that are People give up on getting back rewarded, regardless of whether those are what causes success. on track. These cards were developed and designed by The Center for Advanced Hindsight at Duke University. Please refer any questions to [email protected] Anchoring These cards were developed and designed by The Center for People are tied to their first decisions. Advanced Hindsight at Duke University. Please refer any questions to [email protected] Money Illusion Sunk Cost Effect People confuse actual dollar Once we invest in a particular amounts with the buying path, our commitment to it grows. power of dollars. .