3min chapter

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Gerd Gigerenzer on How to Stay Smart in a Smart World

EconTalk

CHAPTER

The Promise of Big Data

The promise of big data is some i like whata. There's a difference between stable walls and uncertainty, unstable worde. And particular, if the future is not like the past, then big data doesn't help you. The computer doesn't have any common sense to examine whether a correlation is just a correlation or causation. You probably notie story of herry markovitz. Ho got his noble prize fora the noptimization model that tells you how to diversify your money into an assets. But when he himself invested his own money for the time after retirement, he didn't. He used a simple huristic. Uristic is a rule of thumper, and

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