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But basing forecasting on anchoring and adjustment is tricky. As psychologists have shown in countless experiments, final estimates made this way are biased toward the anchor, so a low anchor produces a lower estimate than a high anchor does. That means the quality of the anchor is critical. Use a good anchor, and you greatly improve your chance of making a good forecast; use a bad anchor, get a bad forecast.
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How Big Things Get Don...
 
by
Professor Bent Flyvbjerg
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