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Halo Effect

The halo effect is a cognitive bias where a positive impression of one trait of a person or company leads us to assume all their other traits are also positive.

Halo Effect

The halo effect is a cognitive bias that causes us to have a positive impression of a person or company if we have a positive impression of one feature of that person or company.

For example, we tend to assume that an attractive person is also kind, intelligent, trustworthy, and friendly. Similarly, when we really like a company’s most famous product, we tend to believe that its other products must also be superior.

Because the halo effect often leads to unfair treatment, it has moral implications. One study found that an applicants’ good grooming had more to do with who was hired for the job than the applicants’ qualifications did. Likewise, the halo effect may cause an employer to unfairly promote an attractive employee who is less productive over a less attractive employee who is more productive.

Because of the halo effect, if we think well of a person, we may excuse them when they act immorally. Because we like them, we assume that the ethical misstep must have been accidental.

The halo effect has a flipside, known as the “horn (of the devil) effect. This bias causes us to overgeneralize negative features of a person or company based on a single negative trait or impression.

The halo effect and the horn effect, like all biases, are subconscious and difficult to neutralize. But being aware of these two biases – and their impact on our judgment – can help us protect our integrity and make better decisions.

Bibliography

Solomon Asch, “Forming Impressions of Personality,” Journal of Abnormal and Social Psychology 41: 358-290 (1946).

Harrison Hong & Inessa Liskovich, Crime, Punishment and the Halo Effect of Corporate Social Responsibility, NBER Working Paper #21215 (May 2015).

Harold Kelley, “The Warm-Cold Variable in First Impressions of Persons,” Journal of Personality 18: 431-439 (1950).

Mary Hunter McDonnell & Brayden King, “Order in the Court: The Influence of Firm Status and Reputation on the Outcomes of Employment Discrimination Suits,” American Sociological Review 83(1): 61-87 (2018).

Richard E. Nisbett & Timothy D. Wilson, “The Halo Effect: Evidence for Unconscious Alteration of Judgments,” Journal of Personality and Social Psychology 35(4): 250-256 (1977).

Richard E. Nisbett & Timothy D. Wilson, “The Halo Effect Revisited: Forewarned Is Not Forearmed,” Journal of Experimental Social Psychology 17(4): 427-439 (1981).

Scott Plous, The Psychology of Judgment and Decision Making (1993).

Phil Rosenzweig, The Halo Effect … and the Eight Other Business Delusions That Deceive Managers (2007).

Edward Thorndike, “A Constant Error in Psychological Ratings,” Journal of Applied Psychology 4: 25-29 (1920).

Cognitive Bias

Cognitive Bias

Cognitive biases are errors in thinking that affect people’s decision-making in virtually every situation.

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Confirmation Bias

Confirmation Bias

Confirmation bias is our tendency to seek out or interpret information that supports our pre-existing beliefs, expectations, or hypotheses.

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Implicit Bias

Implicit Bias

Having implicit bias means we unconsciously hold attitudes towards others or associate negative stereotypes with them.

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