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Plato knew a lot about behavioural economics

144 pointsby __kaabout 8 years ago

4 comments

samirillianabout 8 years ago
One of my favorite rules of thumb came from the Nichomachean Ethics where Aristotle said that in considering how much you should pay for a service rendered, you should consider how much it was worth to you before it was accomplished. Not sure it's a documented bias, but it should be: the universal tendency to underappreciate what we already have.
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mrxdabout 8 years ago
This explains why Kahneman&#x27;s book &quot;Thinking, Fast and Slow&quot; was such a hit. The easiest way to write a bestselling book is to tell people what they&#x27;ve heard a hundred times before.<p>It does call into question the feasibility of the book&#x27;s objective of correcting human biases and cognitive errors. We&#x27;ve been trying to do that for 2500 years.
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woodandsteelabout 8 years ago
Yes, Kahneman and Tversky are repeating insights Plato had 2500 years ago. But what they added was experimental verification that is helping persuade economists who have long mistakenly believed that human beings are far more rational than they really are.
saturnianabout 8 years ago
Plato was not doing &#x27;behavioral economics.&#x27; This is so dumb. Academia is broken.
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