“Wrong Direction Fallacy”
If That, Then This.
What is Wrong Direction Fallacy?
Mistaking an effect for a cause.
Business Application
The wrong direction fallacy is rare but important to recognize as flawed. We accept certain truths as ‘common sense’ but recognizing the simplest of human errors sets a foundation for becoming an expert at the more complex ones.
Example
“It takes money to make money.”
Why This is a Fallacy
“It takes money to make money” assumes that everyone who is financially successful started off that way. Hard work, creativity, a bit of luck, and the ability to identify opportunity are all additional elements that contribute toward wealth.
