2min chapter

Clearer Thinking with Spencer Greenberg cover image

Beyond cognitive biases: improving judgment by reducing noise (with Daniel Kahneman)

Clearer Thinking with Spencer Greenberg

CHAPTER

The Advantage of Simple Rules Over Human Judgment

I agree with you, though. I would say there are some important caveats when algorithms can actually be a bad idea. And one of them is in rapidly changing environments where the training data may not reflect the new environment. Unless the algorithm can be updated with enough data, it can be sort of predicting based on bad information. You also point out a good example where sometimes a human will know things that the algorithm doesn't know that are really critical. There can also be a weird feedback loop situation where if you're using an algorithm to make judgments for a long time, that can start biasing your training data in favor of the algorithm.

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