4 ms·
It's a catchy headline, but the "decisions" used as examples, aren't really "dumb" under the complete set of facts. Really, what this is about is that the typi
by codefreeordie 4y ago
It's a catchy headline, but the "decisions" used as examples, aren't really "dumb" under the complete set of facts.
Really, what this is about is that the typical mathematics used to discuss a certain type of financial decision (mostly things like investments) uses an incomplete model that doesn't consider appropriately the actual values involved -- for example, failing to consider the wildly nonlinear curve of the marginal value of one dollar.
- pid-1 4y agoI think you just repeated the article's main argument.
- kwhitefoot 4y agoWhy would anyone bother reading the article when the title and pretty much the first line are falsehoods.
- Ozzie_osman 4y agoIt's just a bad title. Choosing a guaranteed 1M instead of a 50% chance at 25M isn't particularly dumb. "Dumb" decisions might be playing the lottery, or spending a windfall instead of saving it. But even those dumb decisions have reasonable psychological underpinnings for the person doing them.
- slfnflctd 4y ago> psychological underpinnings Another example of a 'dumb' decision: torpedoing a career to preserve relationships. My prospects are abysmal, my savings insufficient and I'm still dysfunctional, but I'm better off than I would've been in many ways if I had not decided to give my loved ones (and my mental health) higher priority. I like to think I can make a comeback one day, but it's okay if I don't.