Familiarity bias is a type of cognitive bias that refers to the tendency for people to prefer information that is familiar to them. This can lead people to hold on to outdated information and beliefs, even when new evidence is presented that contradicts them.
Real-Life Examples:
- Investment Familiarity Bias: Investing only on stocks you love.
- Going To Same Store For Shopping
- Dating people only from your own culture
A Japanese car driver, thinks all American cars are unreliable.