Negative framing and No Pens Days

2020-12-22T10:41:32+00:00October 16th, 2014|literacy|

The framing effect is an example of cognitive bias, in which our reactions to a choice depend on whether it is presented as a loss or a gain. Our tendency is to avoid risks when they're framed negatively and embrace risks when they are framed positively. For instance, we’re happy to pay home insurance on the off chance that our house is burnt to the ground, but we’d likely be unwilling to gamble the same amount of money on a horse race. Insurance makes us feel secure - we won’t lose what’s already ours - whereas gambling makes us feel we [...]