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Nassim Nicholas Taleb on Rationality, Risk, and Skin in the Game

EconTalk

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The Market Is Going to Be Rational

The market is going to be rational, because it's going to punish people even if they're not paying attention. So that's one thing about rationalityand ive seen even beyond the market. When you say about humanity, collectively, each one has makes a mistake of behaving intransitive preferences. Collectively, it doesn't mean that the whole world will have thisrit the thing washed out so beautifully n an aggregationanda.

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