Bad Decisions

Common Causes of Bad Decisions:

1. The Tragedy of the Commons: Individuals act in their own self-interest, the group suffers.
2. Groupthink: When group members prioritize harmony over critical evaluation.
3. Not enough information: When people don't have enough information to make a good decision.

Other causes of bad decisions:

• The Abilene Paradox: When a group makes a decision that no one wants.
• The Sunk Cost Fallacy: When people continue a behavior or endeavor as a result of previously invested resources (time, money or effort).
• The Dunning-Kruger Effect: When people with low ability at a task overestimate their ability.
• The Peter Principle: When people are promoted based on their success in their current role rather than their abilities in the new role.
• The Availability Heuristic: When people overestimate the importance of information that is available to them.

Examples of "Bad" Decisions:

1. Presidential Elections in the United States:

   • Example: The 2016 election.
   • When the majority of people don't get what they want.

2. Election of candidates with low approval:

   • Example: The 2016 US presidential election.
   • When the party is captured by a small group of people.