The costs of optimism and the benefits of pessimism.

Research suggests that optimism feels good. However, does it always feel good? We suggest that the benefits (and costs) of optimism and pessimism depend on their timing. A study of exam score estimates revealed that, after controlling for actual exam performance, optimistic expectations are unrelated to how people feel immediately before feedback, in contrast to the common wisdom that optimism "feels good." Furthermore, optimism has costs after feedback-participants who predicted higher scores before feedback felt worse after learning their scores. Finally, people seem to be aware of the potential costs of optimism-participants who predicted higher scores before feedback also anticipated experiencing greater disappointment should they perform poorly. These findings suggest that people may proactively manage their expectations to avoid the costs of optimism.