Two significant, yet rarely discussed in the mainstream, psychological phenomena are heuristics and cognitive biases. Heuristics, also known as “mental shortcuts”, are used to help us make judgements and, thus, decisions without having to exhaust a lot of mental energy. These sets of simple and efficient rules are an evolutionary adaptation meant to help us; however, in certain situations these rules are erroneous, thereby creating cognitive biases. Cognitive biases are an individual’s subjective construction of reality that influences the way they perceive and behave in the world. When cognitive biases can become harmful is when they lead to illogical interpretations and perceptual distortions of their immediate environment, leading to irrationality. We see this in a preference over one group versus another, towards people more like us, and in negotiations situations where “anchoring” is present, such as car leasing or purchasing. Cornell-based and Stanford-trained, Dr. Tom Gilovich has spent decades studying about what all of this means and why understanding heuristics and biases are so important to navigate the world more effectively. Listen to our conversation to hear his insights and more.