Fundamentally a perfectly rational world is unrealistic. Humans do behave irrationally, even insanely. Humans also behave sub-optimally because they are trapped

Fundamentally a perfectly rational world is unrealistic. Humans do behave irrationally, even insanely. Humans also behave sub-optimally because they are trapped in systems full of crazy perverse incentives. The world itself is full of paradoxes and chaotic feedback loops; the best intentions rationally and logically executed can and do lead to perverse outcomes that would not and maybe even could not be forseen. A perfectly rational world is supposed to be realistic. It is supposed to be like reality. Even in our reality, people or the things they do don't always make sense, but you can find out the reasons why if you just dig deep enough.