It’s like buying a stock that you believe will rise in value—if you didn’t believe that you certainly wouldn’t put your hard earned cash on the table. But that belief just doesn’t make it so.

It’s like living on credit card debt on the brink of insolvency without making any changes to your life and just believing it will all turn out all right. Yet, each decision to spend adds to your stress and money misery.

Does that mean that everyone who picks a stock that loses money or lives on credit cards is stupid? No, of course not. But it does clearly demonstrate that our reasoning is not foolproof and our decision-making is flawed by its very nature. We see the world through the lenses of our beliefs (also known as confirmation bias), yet without testing those beliefs, we are destined to make mistake after mistake and experience disaster after disaster.

Click here to read the full story on Iris.xyz.