Nevertheless, the recency effect from excessive losses in 2008, as well as the challenging political climate, have investors feeling increasingly despondent.

FORBES: Investor Illusions

But the main reason why so many people have such trouble reconciling improving or deteriorating economic data and stock market conditions is the Recency Effect.

FORBES: Think 1938, Not 2008

The trouble with the Recency Effect is that everyone all of a sudden thought they were Nassim Taleb, orinthological experts on the spotting of Black Swans.

FORBES: Sometimes It's Just A Black Duck