Why You Overestimate How Much You Know the Availability Bias

Ever felt certain a recession is coming because you just saw three news articles about layoffs? That's the availability heuristic at work — your brain confusing how easy something is to recall with how likely it actually is. In this episode of Behavioral Economics with Fexingo, Lucas and Luna unpack the bias that distorts risk perception, from stock market panic to vaccine hesitancy. They walk through the classic Tversky and Kahneman experiments, why vivid plane crashes feel more dangerous than car accidents (which kill far more people), and how a simple mental trick — asking 'what evidence am I not seeing?' — can save you from bad decisions. They also touch on why media coverage amplifies the bias and how investors can avoid the trap of recency bias in portfolio decisions. Specific, actionable, and grounded in real data. #AvailabilityHeuristic #AvailabilityBias #CognitiveBias #BehavioralEconomics #DecisionMaking #RiskPerception #TverskyAndKahneman #RecencyBias #InvestingPsychology #MediaBias #Heuristics #EconomicPsychology #Finance #Business #Podcast #FexingoBusiness #LucasAndLuna #ResearchLibrary Keep every episode free: buymeacoffee.com/fexingo