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The framing effect is a cognitive bias where people decide on options based on whether the options are presented with positive or negative connotations; e.g. as a loss or as a gain. People tend to avoid risk when a positive frame is presented but seek risks when a negative frame is presented. Gain and loss are defined in the scenario as descriptions of outcomes (e.g., lives lost or saved, disease patients treated and not treated, etc.).

Framing Effect (Psychology) - Wikipedia

Putting together the initial team, creating the culture, and instilling the mission and values into the team are all like designing and building the initial product.

Tren Griffin - A Dozen Lessons for Entrepreneurs

2017, Columbia University Press

NEO: I’ve kept quiet for as long as I could, but I feel a certain need to speak up at this point. The human body is the most inefficient source of energy you could possibly imagine. The efficiency of a power plant at converting thermal energy into electricity decreases as you run the turbines at lower temperatures. If you had any sort of food humans could eat, it would be more efficient to burn it in a furnace than feed it to humans. And now you’re telling me that their food is the bodies of the dead, fed to the living? Haven’t you ever heard of the laws of thermodynamics?

Harry Potter and the Methods of Rationality

Eliezer Yudkowsky

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