Worse-Than-Average Effect

Also known as: Below-average effect

The worse-than-average effect is a cognitive bias where individuals underestimate their achievements and capabilities relative to others, usually in domains that are perceived as difficult or where success is rare.

Social Biases

2 min read

observational Evidence


Worse-Than-Average Effect

The Psychology Behind It

While the "better-than-average" effect (illusory superiority) is more common, the worse-than-average effect is its flip side. This bias occurs when people rate themselves as below average on tasks that are difficult, complex, or where success is rare. For example, people might rate their ability to juggle, program a computer, or solve complex math problems as worse than the average person's.

This happens because of "egocentric anchoring." When judging our standing relative to others, we first look at our own ability. If the task is hard for us (e.g., juggling), we assume it is hard for everyone, but we anchor on our own struggle and fail to adjust enough for the fact that it is hard for everyone. We erroneously assume that "average" people are better at it than we are.

Real-World Examples

Specialized Skills

If asked to rate their ability to play chess or ride a unicycle, most people will rate themselves as below average. They focus on their own lack of skill and forget that the vast majority of people also cannot do these things.

Moral Behaviors

In domains where the standard is very high, such as donating a large percentage of income to charity, people may feel they fall short and assume others are doing more, even if the average person donates very little.

Chance of Success

People often underestimate their chances of success in difficult competitions (like getting into a top university) because they focus on the difficulty of the challenge rather than the fact that other applicants face the same difficulty.

Consequences

The worse-than-average effect can lead to:

  • Discouragement: People may not try to learn new skills because they assume they are naturally worse at them than others.
  • Missed Opportunities: Individuals may not apply for jobs or programs they are qualified for because they underestimate their relative competitiveness.
  • Lower Self-Esteem: Consistently rating oneself as below average in difficult but valuable domains can erode confidence.

How to Mitigate It

Mitigating this bias involves broadening your perspective to include others' struggles.

  1. Consider the Population: When you think you are bad at something, ask, "Can the random person on the street do this?" The answer is often no.
  2. Recognize Difficulty: Acknowledge that the task is objectively hard, not just hard for you.
  3. Research the Stats: Look up the actual success rates or proficiency levels. You might find you are right in the middle of the pack.

Conclusion

The worse-than-average effect reminds us that our self-assessments are often flawed, swinging from arrogance in easy tasks to insecurity in hard ones. By understanding this, we can make more realistic assessments of our potential.

Mitigation Strategies

Distribution Analysis: Try to estimate the actual distribution of skills in the population. How many people can actually do a backflip?

Effectiveness: medium

Difficulty: moderate

Growth Mindset: Focus on 'not yet' rather than 'can't'. Difficulty is a sign of a challenge, not a personal deficit.

Effectiveness: high

Difficulty: moderate

Potential Decision Harms

Students may drop out of difficult majors (like STEM) because they struggle and assume everyone else is finding it easy.

major Severity

Potential founders may not start a business because they perceive the market as too competitive and themselves as not 'business-savvy' enough.

major Severity

Key Research Studies

The better-than-average effect

Alicke, M. D., & Govorun, O. (2005) The Self in Social Judgment

Discusses the conditions under which the better-than-average effect reverses to the worse-than-average effect.

Egocentrism and focusing in social judgment

Kruger, J. (1999) Journal of Personality and Social Psychology

Found that people anchor on their own performance and fail to adjust for the difficulty of the task for others.

Read Study →


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