Archive for the ‘Rational ignorance’ Tag

We Shouldn’t Stick Our Heads In The Sand, But We Do It Anyway   Leave a comment

ostrich effectLink: http://www.npr.org/2017/09/18/551901221/we-shouldn-t-stick-our-heads-in-the-sand-but-we-do-it-anyway

Summary: We all have experienced information aversion when it comes to information that provokes psychological pain. When the stock market crashes, do you continue to frequently check your portfolio, or ignore it completely since you anticipate future losses? If you chose to put your portfolio to the side, this exemplifies “the ostrich effect”. This term comes from not birds, but investors. Hidden Brain discusses how information aversion is associated with people avoiding information that is unpleasant. While we know that ignorance can be bliss, knowledge is power.

Original Air Date: September 18, 2017

Length: 26 minutes 41 seconds

 

 

Why Doesn’t Everybody Buy Cheap, Generic Headache Medicine?   Leave a comment

generic medicineLink: http://www.npr.org/blogs/money/2013/07/05/198504001/why-doesnt-everybody-buy-cheap-generic-headache-medicine

Summary: A consideration of consumers’ tendency to purchase more expensive name brands rather than identical generics.  Includes discussion of education as a contributing factor to likelihood to purchase generics. Includes one consumer’s belief that there is rational ignorance in his decision to just buy the brand name.

Length: 4:29 min

Original air date: July 4, 2013