The Curse of Knowledge is a cognitive bias in which once we know something, we lose the ability to recall what it was like not to know. The deeper our understanding of a subject, the more pronounced it becomes.
In the 1970s, psychologist Baruch Fischhoff conducted a study in which participants read short descriptions of historical events, each with four possible outcomes. Some participants were told which outcome actually occurred. Others were not. Both groups were then asked to assign a probability to each outcome. The pattern was consistent: participants who had been told the answer rated the actual outcome as far more likely than those who had not—not because they thought they had been told, but because it now seemed obvious. Knowing the answer had quietly rewritten their sense of what should have been knowable all along. Fischhoff called this “hindsight bias.”
Fourteen years after Fischhoff’s research, economists Colin Camerer, George Loewenstein, and Martin Weber examined how possessing private information distorts predictions about others’ behavior in market settings. Specifically, they wanted to see whether better-informed agents could accurately set aside their own private knowledge when predicting the behavior of less-informed agents.
To test this, they designed controlled experiments built around asymmetric information, asking informed participants to anticipate how less-informed participants would act. They published their results in the Journal of Political Economy in 1989, concluding that better-informed participants systematically failed to disregard their own knowledge when attempting to see the situation from the perspective of the less informed. They named this phenomenon the “Curse of Knowledge.”
Two groups were established. Group A was given historical data on several companies and instructed to predict future earnings. Group B was given the same historical company data plus actual future earnings.
Group B was instructed to estimate the forecasts made by Group A. To motivate stepping into Group A's lack of knowledge mindset, a financial reward was introduced. Estimates most in line with Group A's answers earned more.
Knowing the actual results created a cognitive bias. Despite the financial incentive, Group B was unable to revert to a state of not knowing and consistently skewed the predictions made by Group A to match the numbers it knew.
These videos let you experience the Curse of Knowledge phenomenon.
Example One
In 1990, Stanford graduate student Elizabeth Newton ran a simple experiment. One group was tasked with tapping out well-known songs on a table. A second group was tasked with listening to the tapping and guessing the song.
The listeners got it right 2.5% of the time. This surprised the tappers, who thought the songs were obvious. In reality, they were projecting the soundtrack playing in their heads onto the listeners.
The video on the right lets you do the same experiment.
Example Two
Miro Kazakoff, a senior lecturer in managerial communication at MIT Sloan, has developed a simple visual demonstration of how our brains reorient after knowledge becomes available. Once that reorientation happens, you cannot unknow what you now know—and you can no longer imagine how anyone else could miss it.
The video on the right is based on Kazakoff’s example.
The “How Our Brains Process Information” fact sheet discussed how the brain creates mental structures that compress, categorize, and connect information we receive. The Curse of Knowledge is the consequence of that system working exactly as designed.
As expertise develops, the brain organizes domain knowledge so efficiently that retrieval becomes automatic. Unfortunately, the very process that facilitates the mastery in the first place also creates a trap when it comes to communicating to those with less knowledge.
Once a knowledge structure has been integrated, the brain cannot dismantle it. Steps that used to require conscious explanation become invisible and are no longer experienced as steps at all. Terminology that once needed defining becomes the natural unit of thought, indistinguishable from the concept itself.
This is why the Curse of Knowledge is so difficult to overcome through awareness alone. Knowing the bias exists does not undo it. The brain has already reorganized. You cannot unknow what you know, and you cannot easily assume the perspective of those coming into the subject without the same knowledge.
Let me know when you are ready to discuss your project. I live on the East Coast of the United States and work with clients around the world.
michie@michiekane.com