Crowds will chase a delusion until it is destroyed by experience…

— Joel Tillinghast from “Big Money Thinks Small: Biases, Blind Spots, and Smart Investing” p. 6

Under the influence of crowds, individuals act bizarrely, in ways they never would alone. Crowds are mentally unified at the lowest, most barbaric, common denominator of their collective unconscious — instincts,passions, and feelings — never reason. Being unable to reason, crowds can’t separate fact from fiction. Crowds are impressed by spectacle, images, and myths. Misinformation and exaggeration become contagious. Prestige attaches to true believers who reaffirm shared beliefs. Crowds will chase a delusion until it is destroyed by experience.”

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