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271. The Men Who Started a Thinking Revolution

Freakonomics Radio

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The Decency Bias

Kahneman and Dversky's research looked at how people think about risk. Their most influential paper was called prospect theory, an analysis of decision under risk. It argued that the standard economic model didn't fully account for how real people make real decisions. They were after all psychologists, but also they'd both seen some bad outcomes themselves.

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