Anchoring Bias Anchoring bias is a cognitive bias that refers to the tendency of people to rely too heavily on the first piece of information they receive (the "anchor") when making decisions or judgments. This initial information, whether it's accurate or not, can influence subsequent decisions and lead to an inadequate adjustment away from that anchor. An illustration of historical prejudice is the debates surrounding the Treaty of Versailles, which put an end to World War I in 1919. Under the terms of the Treaty of Versailles, Germany and its allies were forced to pay expensive reparations and lose land. An essential part of the pact were the reparations Germany was required to pay to the Allies as compensation for the harm caused during the war. The anchoring bias in this context may be seen in how the Allied forces, particularly Britain and France, made the initial requests for reparations. These first requests were quite high, reflecting the enormous destruction and...