Humans almost invariable think “More info” would be helpful - well after that is no longer true.
Optimum Level of Information
There is an upside-down U curve for how much information You have for a given task, or decision. It does not, however, seem as though people actively seek the correct information. Instead they continually want more.
👉 When it comes to decision making, you need to edit the total volume of facts available to those few that are most relevant.
More information tends to make people more CONFIDENT about their conclusions, even in situations where it makes the LESS CORRECT.
Examples
- In a study where a series of students were asked to perform a war games exercise, they were given different amounts of information in a 30 minute period to help them perform their task. Some got only 2 pieces of information. Some received 25+ pieces of information. The optimum level of information for the task at hand was found to be at around 10-12 pieces. That’s when people did the best… but all participants asked for “more info” - even when more info made their performance worse.
- A doctor named David Goldman created a simple algorithm that only took into account 4 pieces of information to determine if a patient at his hospital was having a genuine heart attack or not. After a 2-year soak test, comparing the algorithm against the best guesses of the doctors on staff, it was determined that the experts were right only 70% of the time, while the simple, easy-to-replicate algorithm was correct 95% of the time. More information clouded their judgement.
In cases where more information leads to a Law of Diminishing Returns, you’re better off Satisficing to avoid Analysis Paralysis.
Most of the time you don’t need more information, you need more courage.
- James Clear