What is a potential effect of the Status Quo Bias on decision-making?

The Status Quo Bias refers to a cognitive bias that leads individuals to prefer things to stay the same rather than change. This bias often results in a tendency to maintain current situations because people feel more comfortable with familiarity and are often resistant to the uncertainty that change can bring. This can manifest in various contexts, such as sticking to a routine, not exploring new opportunities, or declining to make decisions that could alter one’s current state.

In decision-making, the Status Quo Bias can impede progress and lead to a lack of innovation. Individuals may overlook potentially beneficial options simply because they are not part of the established norm or routine. This reliance on the familiar can prevent individuals and organizations from adapting to new information or improving their circumstances.

The other options represent positions that stand in contrast to the essence of Status Quo Bias. Innovative ideas and changes are discouraged rather than encouraged, and instead of over-analyzing new options, the bias may lead to an outright rejection of them. Overall, the bias creates a psychological barrier against revising the current situation, thereby favoring the status quo over potential improvements or changes.