Last month I was impatiently waiting for my favorite Philly Cheesesteak as I overheard another sandwich lover describing the success of his investment in Dogecoin to his friend. He was touting Dogecoin as a “sure investment” based on his study of the price trend, and was looking forward to spending his yet unrealized gains. I couldn’t help but be reminded of reading about confirmation bias while studying psychology and behavioral economics. Confirmation bias is the tendency to place greater weight on the variables which support the future that most benefits us and to discount information that does not. Mr. Philly Cheesesteak failed to acknowledge the speculative nature of Dogecoin. I hope his friend didn’t choose to invest; shortly after overhearing that conversation, Dogecoin dropped 40 percent. Read More