Policy makers, like most people, normally feel that they already know all the psychology and all the sociology they are likely to need for their decisions. I don't think they are right, but that's the way it is.
Daniel KahnemanOverconfidence is a powerful source of illusions, primarily determined by the quality and coherence of the story that you can construct, not by its validity.
Daniel KahnemanThe experiencing self lives its life continuously. It has moments of experience, one after the other.
Daniel KahnemanIf people are failing, they look inept. If people are succeeding, they look strong and good and competent. That's the 'halo effect.' Your first impression of a thing sets up your subsequent beliefs. If the company looks inept to you, you may assume everything else they do is inept.
Daniel KahnemanWhen you look at the books about well-being, you see one word - it's happiness. People do not distinguish.
Daniel KahnemanMood evidently affects the operation of System 1: when we are uncomfortable and unhappy, we lose touch with our intuition. These findings add to the growing evidence that good mood, intuition, creativity, gullibility, and increased reliance on System 1 form a cluster. At the other pole, sadness, vigilance, suspicion, an analytic approach, and increased effort also go together. A happy mood loosens the control of System 2 over performance: when in a good mood, people become more intuitive and more creative but also less vigilant and more prone to logical errors.
Daniel Kahneman