Good morning. Somebody said a number, and every sentence since has been measured from it.
Decisions.
Anchoring in Decisions
Think of the last significant number you agreed to — a price, a salary, a budget, a delivery date — and say where it originally came from. If the honest answer is that it came from the other side of the table, then what you have been calling negotiation was arithmetic performed on somebody else's figure.
In 1987, Gregory Northcraft and Margaret Neale published an experiment that should unsettle anyone who trusts their own judgement. They walked estate agents and students through a real house in Tucson and handed each of them a ten-page information pack, identical in every respect but one: the listing price. The valuations moved with that number. Asked afterwards what they had based their appraisal on, the agents cited condition, comparable sales, the neighbourhood — and only about one in five mentioned the listing price. Roughly twice as many students admitted it as professionals did — and even among the students, only about a third. Amos Tversky and Daniel Kahneman had already set out the mechanism in Judgment under Uncertainty (Science, 1974): shown an arbitrary figure before estimating an unrelated quantity, people adjust away from it and stop too soon. The trap is not that anchors move amateurs. It is that expertise does not protect you and introspection does not detect it. Most people believe they discounted the first number. The evidence says they negotiated inside it. Day 9, The Anchoring Trap, met this at the negotiating table — the figure the other side puts in front of you and the move that answers it. This morning is the half that comes earlier: the number you owe yourself before any counterparty has spoken, and the numbers you have quietly been setting for yourself for years.
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