The Jordan Harbinger Show

518: Daniel Kahneman | When Noise Destroys Our Best of Choices

Jun 8, 2021

Daniel Kahneman, a Nobel Prize-winning psychologist and author of 'Thinking, Fast and Slow,' explores the pervasive issue of 'noise' in decision-making. He discusses how variability in judgments can lead to inconsistent choices, affecting fields like medicine and law. Kahneman emphasizes the need to distinguish between noise and bias and suggests methods to enhance judgment quality. He also delves into irrational human responses to risk and the challenges posed by biases in both human and algorithmic decision-making.

01:02:51

Episode guests

Daniel Kahneman

Highlights

AI Chapters

Episode notes

Delay Intuition and Independent Judgments

01:18

Detecting Noise: A Statistical Observation

01:16

What's the Difference Between Noise and Bias?

01:49

The Power of Delayed Judgment

00:56

Intro

4min

Understanding Achievement: Gold vs. Nobel

16min

Understanding Noise and the Wisdom of Crowds in Judgment

3min

Managing Noise in Decision-Making

5min

Navigating Bias in Decision-Making

11min

Irrational Responses to Risk: Terrorism vs. Everyday Dangers

2min

Navigating Trust: Human Judgment vs. Algorithms

12min

Understanding Human Flaws and Biases

9min

Daniel Kahneman is a celebrated psychologist, economist, Nobel Prize winner, and author of the much-lauded Thinking, Fast and Slow and his latest, Noise: A Flaw in Human Judgment.

What We Discuss with Daniel Kahneman:

Why we don’t always produce the same results when faced with the same facts on two different occasions.
How noise -- in this context, variability in judgments that should be identical -- influences our choices.
How the detrimental effects of noise in medicine, law, economic forecasting, forensic science, bail, child protection, strategy, performance reviews, and personnel selection can ruin (and even end) lives.
How to tell the difference between noise and good old-fashioned bias.
How we can reduce the role of noise and bias in our lives to make our best choices.
And much more...