Overconfidence is a psychological phenomenon where individuals overestimate their abilities, knowledge, or the accuracy of their predictions. For example, a student might believe they will ace a test without studying, thinking their natural intelligence is enough. This inflated self-assessment can lead to poor decision-making and unexpected failures. In various fields, such as business or sports, overconfidence can be detrimental. A CEO might invest heavily in a project, convinced of its success, while ignoring warning signs. Similarly, an athlete may underestimate their opponent, leading to a surprising defeat. Recognizing and managing overconfidence is essential for achieving realistic goals and making informed choices.