Under non linearities, you keep adding money with no result, until there is hyper inflation or nothing. Too many of our models are about probability of x or y but it's the consequences of x and y that matter. I tried to channel my ideas into four disciplines. The first one is econometri statistic where they work when they don't work with my forst squadront of eproach. And the second one is he distinction between noat and nohaw. Third one is robustness, of course, the third topic was epistemology itself.
Nassim Taleb, author of The Black Swan and Fooled by Randomness, talks with EconTalk host Russ Roberts about his latest thoughts on robustness, fragility, debt, insurance, uncertainty, exercise, moral hazard, knowledge, and the challenges of fame and fortune.