Kahneman and Tversky (Amos Tversky)

Kahneman and Tversky, through their pioneering work in psychology, studied how people make decisions and often rely on mental shortcuts called heuristics. They identified systematic biases, such as overconfidence or risk aversion, that influence judgments and choices. Their research revealed that our thinking is often influenced by the way problems are framed, leading to predictable errors. These insights help explain human behavior in economics, management, and everyday life, highlighting that we don’t always act rationally, even when trying to make the best decision. Their work fundamentally reshaped understanding of decision-making under uncertainty.