The Anchoring Effect

The Anchoring Effect is a cognitive bias where people rely too heavily on the first piece of information they encounter when making decisions. For example, if you're told that a book costs $30, that number becomes an "anchor" in your mind. Even if later you see it discounted to $20, your perception of its value is still influenced by that original price. This can affect judgments and choices in various contexts, from shopping to estimating quantities, as we often use initial information as a reference point, even if it's not the most relevant.