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Michael Lewis On How Behavioural Economics Changed The World

Intelligence Squared

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What Are the Greatest Implications of Cognitive Bias?

Danny Cevallos: What do you think are the greatest insights or the things that have affected the world when you talk about it changing the world? He says they made two big contributions. One was to this field of judgment where they uncover cognitive bias. They did all kinds of little experiments to show that you could distort people's answers to questions that had a right answer in predictable ways. And then what they did is moved on to decision making, which is a more sterile study of gambles. Here they were trying to figure out why people reverse preferences, which you're not supposed to do.

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