The chapter explains the difference between data and evidence, showcasing how a large dataset doesn't always lead to conclusive evidence. By discussing examples from criminal trials and studies on breastfeeding, the importance of recognizing correlation versus causation is emphasized. Practical tips on questioning claims, activating discernment, and avoiding blind acceptance of information are also shared.
Alex Edmans shows you how to think smarter, sharper, and more critically so you can make better decisions.
— YOU’LL LEARN —
1) How our biases are holding us back
2) The ladder of misinference that mucks up our thinking
Alex Edmans is Professor of Finance at London Business School. Alex has a PhD from MIT as a Fulbright Scholar, and was previously a tenured professor at Wharton and an investment banker at Morgan Stanley. Alex has spoken at the World Economic Forum in Davos, testified in the UK Parliament, and given TED/TEDx talks with a combined 2.8 million views. He was named Professor of the Year by Poets & Quants in 2021.