Availability Heuristic is a judgement about the likelihood of an event based on things that come
to mind, rather than facing reality and actual facts. A person may imagine failure of a business
based on irrelevant facts. The overconfidence effect is a cognitive bias in which someone
believes that his or her judgment is better or more reliable than objectively is. (Psychology
concepts) People with overconfidence affect will hire someone on the past based on the way
they look or make investments without proper research because they are overconfident that
they are never wrong. Overconfidence effect makes people surer of their answers which can
sometimes be good, but they tend to not rely on hard facts and just their own judgement.
(n.d.). Retrieved September 27, 2017, from
http://www.psychologyconcepts.com/overconfidence-effect/
Sewell, M. (n.d.). Retrieved September 27, 2017, from
http://heuristics.behaviouralfinance.net/availability/