Question for Eric Gold on “trust” as an intuition
On the first call we learned of a number of ways in which we are wired to make choices which might not be rational. As Eric was conducting the repeated coin toss experiment on today’s call, the thought crossed my mind (perhaps because I could not observe the coin toss) that it might not be fair. This was more emotional that rational, but in this case, the instinct was right, as Eric admitted to contriving a sequence to make a teaching point. So my question is how skepticism affects our decision-making. Are we better decision makers when we question as many of the precepts as we can? And how do decision models accommodate risks that the system is rigged?