Book description
The thirty-five chapters in this book describe various judgmental heuristics and the biases they produce, not only in laboratory experiments but in important social, medical, and political situations as well. Individual chapters discuss the representativeness and availability heuristics, problems in judging covariation and control, overconfidence, multistage inference, social perception, medicalâŚ
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Why read it?
1 author picked Judgment under Uncertainty as one of their favorite books. Why do they recommend it?
I love the development of knowledge, especially practical knowledge that can be applied directly to real-world challenges. It's rare in a lifetime to see something new and valuable, in familiar territory, but providing novel insights that apply directly to known challenges. Kahneman started a cognitive revolution with this book.Â
He showed that estimation of probabilities are most often for most people; irrational. This flies in the face of previous economic theory, which holds that the economic actor behaves rationally. In actuality, the human mind does a poor job of estimating probabilities, and this is not limited to uneducated or low-functioningâŚ
From Thomas' list on The best books to understand organizational life.
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