What a question!!!
For me, it involves making an informed decision, using my moral/conscience/wisdom, and waiting for the outcome.
I only "trust" my judgment if I have been through similar or the same circumstances and the outcome was positive and it didn't hurt anyone, including me!! I call that my experiences/wisdom. If I don't have any information to draw on, I ask people I trust with their opinions.
It doesn't turn out positive, every single time, but I'm building a life experience diary in the process. Hopefully, I won't make the same mistake more than once. My favorite saying is, "I don't go to the bank for doughnuts."
Hope that helps, just my opinion.
suzie q