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Anchoring Effect &
Judgment Bias

200 agents estimate the price of a luxury item after seeing a random anchor from a wheel spin. Watch the crowd's judgment get systematically distorted — and see who resists most.

The Experiment

Tversky and Kahneman (1974) demonstrated that arbitrary numbers, even ones people know to be random, powerfully distort subsequent estimates. In one version, participants spun a wheel rigged to land on 10 or 65, then guessed the percentage of African countries in the UN. Those who saw 65 guessed 45%; those who saw 10 guessed 25%. This simulation runs an analogous scenario on 200 virtual agents estimating the price of a "Golden Chronometer" (true value: ₹50,000) after the wheel produces a random anchor.

Approach

Each agent has a Prior Knowledge score (0–100%) drawn from a normal distribution. When an anchor is introduced, each agent's estimate is computed as a weighted blend of the true value and the anchor, with the weight determined by their knowledge — plus calibrated noise. Low-knowledge agents weight the anchor heavily; high-knowledge agents resist more but are never fully immune. A D3.js histogram shows the full distribution shifting in real time, with the pre-anchor "ghost" preserved for comparison.

Key Insight

The scatter plot is the clearest view of the mechanism: plot Prior Knowledge on the X-axis and Estimate Error on the Y-axis. You see a gradient — low-knowledge agents (left) cluster far from zero, while high-knowledge agents (right) cluster near it. But even the most knowledgeable agents rarely land exactly at ₹50,000. The adjustment gap persists even when people know the anchor was random. That's the core horror of anchoring: awareness doesn't cure it.