Wednesday, November 19, 2014

Showdown: PS4 vs Xbox One

It has been a year since the PS4 and Xbox One were released. The PS4 has sold 13 million units, while the Xbox One is lagging behind with 10 million sales. Is the PS4 really the better console?

Wednesday, November 5, 2014

Left-digit bias in the diamond market (or how to get your money's worth when buying a diamond)

Suppose your favourite cup of coffee costs $2.50, but its price rises to $3.00. Now suppose that the same cup of coffee costs $2.40, and its price increases by the same amount, 50 cents, to $2.90.

Many would feel more upset over the first scenario, even though the price increases by the same amount in both cases. The jump in the dollar digit, or the leftmost digit, makes it seem that the increase is greater. This is known as left-digit bias.