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The Incentives Lab
HBT-COG-0584 · Dimension COG · Cognition

Reversion to the Mean

Extreme results tend to be followed by less extreme ones.

Probability·Mental Model·Grade B·draft· enriching…

Scientific Definition

Extreme results tend to be followed by less extreme ones.

Plain-English Definition

Extreme results tend to be followed by less extreme ones.

Feynman Explanation

The hot hand and the cold streak both end.

Core Principle

Extreme results tend to be followed by less extreme ones.

Mechanisms

Psychological

Pending editorial review.

Behavioral Economic

Extreme results tend to be followed by less extreme ones.

Neurological

Pending editorial review.

Evolutionary

Pending editorial review.

Sociological

Pending editorial review.

Computational

Pending editorial review.

Systems

Don't overweight outliers in either direction.

Inputs (Triggers)

Pending editorial review.

Outputs (Behaviors)

Pending editorial review.

Behavioral Signature

The hot hand and the cold streak both end.

Examples

Everyday
  • Performance management. Investment returns.
Modern (Organizational)
  • Don't overweight outliers in either direction.
Historical

Pending editorial review.

Famous Experiments

Pending editorial review.

Design Principles

  • Look at rolling averages, not point-in-time peaks or troughs.

Measurement Approaches

Pending editorial review.

Evidence

Evidence Grade
B (A strongest → E speculative)
Replication
★★★☆☆
Intervention Confidence
3 / 5
Consensus
Pending editorial review (HBT v1.0 auto-seed).
Limitations
Pending editorial review (HBT v1.0 auto-seed).
Open Research Questions

Pending editorial review.

Primary References

Pending editorial review.

Signature Section

The Perverse Incentive Lens™

How this behavior is exploited — and how to redesign around it.

Exploitation
Don't overweight outliers in either direction.
Amplifying Incentives
Don't overweight outliers in either direction.
Org Failure Modes
Don't overweight outliers in either direction.
Societal Failure Modes
Pending editorial review (HBT v1.0 auto-seed).
Ethical Considerations
Pending editorial review (HBT v1.0 auto-seed).
Redesign Strategies
Look at rolling averages, not point-in-time peaks or troughs.
Diagnostic Questions
  • Look at rolling averages, not point-in-time peaks or troughs.
Warning Signs

Pending editorial review.

Red Flags

Pending editorial review.

Intervention Playbook
Individual
Look at rolling averages, not point-in-time peaks or troughs.
Team
Pending editorial review (HBT v1.0 auto-seed).
Organization
Pending editorial review (HBT v1.0 auto-seed).
Policy
Pending editorial review (HBT v1.0 auto-seed).
AI Implications
Detection
Pending editorial review (HBT v1.0 auto-seed).
Measurement
Pending editorial review (HBT v1.0 auto-seed).
Mitigation
Pending editorial review (HBT v1.0 auto-seed).
Responsible Use
Pending editorial review (HBT v1.0 auto-seed).

Interactive Mini Network

Click any neighbor to re-center the graph and follow the threads of connection.

HBT-COG-0584 · COG
Reversion to the Mean
RTBRBase Rate FallacyBRBayes' Rule (Updating)BTBayes' TheoremBUBayesian UpdatingBLBeginner's LuckBSBlack SwanCoCoincidenceDiDistributionsErErgodicityFEFermi Estimate

Knowledge Graph Neighbors

Version History

v1.1.0 · 2026-06-28Initial auto-seed from corpus.