Definition:

1. The tendency for preconceived value judgements to interfere with our assessment of costs and benefits.

Insights:

1. Asymmetric information plays a role in stock market bubbles - insiders become concerned with bubble companies and exploit this information fraudulently.

Insights:

1. Confirmation bias makes us more inclined to look for confirming evidence of our beliefs, rather than evidence that would disprove them.

Insights:

1. Hindsight Bias causes us to attach higher probabilities to events after they have happened that we did before they happened.