Why We Miss the Signs

MIT Sloan Management Review

Volumn 50, Issue 2, 2009, Pages 43-44

  Schoemaker, Paul J H ^a   Day, George S ^b  

^a Decision Strategies International Inc   (United States)

^b UNIVERSITY OF PENNSYLVANIA   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 67649085995     PISSN: 15329194     EISSN: None     Source Type: Journal    
DOI: None     Document Type: Article

References (7)

1. E.L. Andrews, "Fed Shrugged as Subprime Crisis Spread," New York Times, Dec. 18, 2007; P.M. Barrett, "Wall Street Staggers," Business Week, Sept. 29,2008, 28-31;
2. and N.D. Schwartz and V. Bajaj, "How Missed Signs Contributed to a Mortgage Meltdown," New York Times, Aug. 19, 2007.
3. The biases mentioned here reflect multiple research streams that are too broad to cite fully. We suffice by listing some of the classic references, such as L. Festinger, "Conflict, Decision and Dissonance" (Stanford: Stanford University Press, 1964);
4. Janis, "Groupthink: Psychological Studies of Policy Decisions and Fiascos," 2nd ed. (Boston: Houghton Mifflin, 1982);
5. I.L Janis and L. Mann, "Decision Making: A Psychological Analysis of Conflict, Choice and Commitment" (New York: Free Press, 1977);
6. and H.H. Kelley and J.L Michela, "Attribution Theory and Research," Annual Review of Psychology 31 (19801:457-501.
7. The original and classic reference on groupthink is Janis, "Groupthink." For a critical review of groupthink as a psychological model, see W. Park, "A Review of Research on Groupthink," Journal of Behavioral Decision Making 3, no. 4 (1990): 229-245.