Representativeness Heuristic
The Representativeness Heuristic is a cognitive shortcut used to estimate the probability of an event by comparing it to an existing mental prototype or stereotype. Identified by Tversky and Kahneman in 1972, this mental model explains why we commit the "Conjunction Fallacy," ignore statistical base rates, and fall for the Gambler's Fallacy. By understanding how the brain prioritizes "story fit" over "statistical reality," decision-makers can avoid expensive hiring errors, improve investment accuracy, and neutralize systemic prejudice in organizational systems.