How Can We Dodge the Self-Serving Bias?

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Let me share with you about Self-serving Bias

All of us tend to attribute success to ourselves and failures to external factors. Most of us definitely know the Self-serving Bias from high school. If you got an A, you were solely responsible; the top grade reflected your intelligence, hard work and skill. And if flunked? The test was clearly unfair.

But grades don’t matter to you any more: perhaps the stock market has taken their place. There, if you make a profit, you applaud yourself. If your portfolio performs miserably, the blame lies exclusively with the market.

In SAT tests, students can score between 200 and 800 points. When asked their results a year later, they tend to boost their scores by around 50 points. Interestingly, they’re neither lying nor exaggerating; they are simply enhancing the result a little — until they start to believe the new score themselves.

So, how can we dodge the Self-serving Bias?

Do you have a friend who tell you the truth – no holds barred? If so, consider yourself lucky. If not, do you have at least one enemy? Good. Invite him or her for tea and ask for an honest opinion about your strengths and weaknesses. You will be forever grateful you did.

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The detailed report is compiled using the proprietary research notes that I have written over last two decades.