Doubt/Avoidance Tendency Bias
Number 4 Of The 25 Cognitive Biases...
Once we’ve got some information on a subject we don’t like to hear new (even correct!) information.
As new information comes in we ignore it and make a snap decision based upon our (consistent) previous knowledge.
Examples Of The Doubt/Avoidance Tendency Bias
If you were a firm believer that counting calories didn’t work and you believed this for a decade even when new information comes out proving that it 100% does, and that previous studies and information were incorrect and ill-informed your brain would attempt to block out this information.
Charlie Munger uses a specific example from a Dean of Physics in his speech "The Psychology of Human Misjudgement":
“According to Max Planck, the really innovative, important new physics was never really accepted by the old guard. Instead a new guard came along that was less brain-blocked by its previous conclusions”
Do not put your brain in chains too young, be open and adaptable to new information – don’t allow your brain to keep you stubborn and stuck with the information you already know and are bias towards.
How To Avoid Falling Victim To The Doubt/Avoidance Tendency Bias
Take your time and analyze.
When we're performing research or amidst a decision we've already got a X amount of information that has our brain perceiving the situation a certain way in order to form its judgement and ultimately a decision (be it a purchase or investing scenario).
If and when you uncover new information set yourself a cooling off period to analyze this information and take it into account before making any snap decision based upon doubt or stress.
Want To Know More About Charlie Munger's Cognitive Biases & How To Dominate Life?
I recently purchased Charlie Munger’s flagship book, Poor Charlie’s Almanack – a book filled with hundreds of pages of wisdom from a billionaire and master of mindset and mental frameworks to improve your life..
This book cost me $65 USD. To most this will seem absurd…
“$65 for a book?! What a waste of money”
…these are the same people that spend hundreds of dollars on junk food and alcoholic beverages on Friday and Saturday night.
Delay The Instant Gratification
Don’t adopt the epicurean mentality of “eat, drink and be merry for tomorrow we die.”
You must think long term, you must delay the instant gratification we’re so used to experiencing in this life and invest for tomorrow (stoicism).
“Don’t invest in things that’ll rust, rot or depreciate, invest in things that’ll be worth more later or make you be worth more later”.
The information in this book is worth well over $65 if read and implemented, the information on investing and cognitive biases is worth its weight in gold.
But remember, It’s the application of knowledge that counts, not just the acquisition (read it and take action!)