What Is Hindsight Bias and How Is It Different from a Confirmation

question 33

Essay

What is hindsight bias and how is it different from a confirmation bias? Explain.

---

Definitions:

Lender of Last Resort

An institution, usually a country's central bank, that offers loans to banks or other eligible institutions that are experiencing financial difficulty or are considered highly risky.

Less-Developed Nations

Countries with low levels of industrialization, low living standards, and low Human Development Index (HDI) scores.

Industrially Advanced Countries

Nations that have highly developed industries and infrastructure, often exhibiting high standards of living, stable economies, and technological advancements.

Developing Countries

Nations with a lower level of industrialization, income, and standard of living compared to developed countries.