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  Home arrow Articles arrow It's not just what you know!

 

To know that we know what we know, and that we do not  know what we do not know, that is true knowledge.

 Henry David Thoreau

Unskilled and unaware

There's only one thing worse than being incompetent - and that's being incompetent and ignorant about your incompetence!

Unfortunately, say Barber and Odean, it appears that these two burdens go hand in hand.
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It’s not just what you know! Print E-mail

"Intelligence" is more than how much a person knows and how good they are at solving problems. Smart people are good at monitoring or judging their ability - they know what they know, and know what they don't know. They understand the limits of their ability and recognize when they need to seek advice.

In contrast, people who don't know what they don't know are poor judges of their knowledge and problem-solving abilities. They put forward solutions and take action with supreme, but misplaced, confidence in their ability.

e-bilities® is the only ability testing system that can assist employers and recruiters to quickly determine if their job applicants are:

Over-confident - often wrong but always ready to put forward a solution to a problem with great faith in their judgment, or

Under-confident - cautious in trusting their ability, or

Realistic - demonstrating a good understanding of their abilities.

 

Beware over-confidence

Within many professions, the significant negative consequences of over-confident decision making are becoming more and more apparent.

In the financial markets arena for example, over-confidence is very costly...

On the stock market, it is a well known fact that men trade bigger volumes and make significantly less money than women. According to behavioral finance experts, Brad Barber and Terrance Odean, the reason behind this is over-confidence.
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