Topic Videos
Anchoring (Behavioural Economics)
- Level:
- A Level
- Board:
- AQA, Edexcel, OCR, Eduqas
Last updated 21 Mar 2021
Anchoring is the use of (usually) irrelevant information as a reference point for helping to make an estimate of an unknown piece of information. In other words, people use an “anchor point” of an event or a value that they know in order to make a decision or estimate. Behavioural scientists describe this as a cognitive bias.
You might also like
Alternatives to Profit Maximisation Explained
Topic Videos
Moral hazard: Does vaccination increase risk-taking behaviour?
14th April 2021
Illusion of the Year for 2020
5th January 2021
Information Provision and Regulation (Online Lesson)
Online Lessons
Externalities of Pandemics
Topic Videos
Economics of Speculative Bubbles
Topic Videos