The Power of Regret: How Looking Backward Moves Us Forward

Counterfactual thinking describes thinking about what could have been, or what could be. It aligns with humans’ ability to tell stories and imagine realities that do not exist. It is a precondition for experiencing regret, which is what makes regret an innately human emotion.

Fundamental attribution error is the tendency to attribute one’s or another person’s behavior and decision-making to personality, rather than considering a person’s larger context. Pink points out that people often commit the same error when evaluating the cause of foundation regrets, referring to this tendency as foundation attribution error. He highlights the fact that foundation regrets can be caused by a person’s lack of guidance or opportunities. With this in mind, people should refrain from judging themselves for their foundation regrets, and instead do better going forward and consider helping others avoid making the same mistakes.

Economist Harry Markowitz conceived modern portfolio theory in the early 1950s, earning him a Nobel Prize. The theory advises diversifying one’s investment portfolio and revolutionized investors’ approach to the stock market, as investors long believed a person should invest in only one or two high-potential stocks. Pink points out that the theory also applies to emotions, that people should value all emotions rather than solely the positive ones.