When a user logs in, they see the default system dashboard. If they select "create dashboard" from the options, they can create their own (many dashboards in fact, as tabs) and when they open Jira, they will see their dashboard by default.
That is what I described - the "favourite" dashboard just means that it appears as a tab on the dashboard displayed when the user goes to their dashboard.
The bit I did not state was that Jira remembers your last used dashboard and lands you on that when you hit the dashboard page. There is no "default" other than the last dashboard you actually saw.
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