Ed,

 

The mistake made by those who declare that human beings are irrational is to 
view them from the point of view of the observers. Something that may seem 
irrational to the observer may seem quite rational to the subject – who works 
with different information and a different background from the economists.

 

There again people may not be good at rational thinking. In the past, if you 
behaved irrationally, you would probably die. Now, you survive to continue 
making inadequate decisions.

 

If we aren’t too good at making decisions, we may well give over the job to 
someone we think is better. This hasn’t proven too good an idea in many cases. 
Yet it may be the most rational thing we can do – given the circumstances.

 

The two Classical assumptions still apply: “Man’s desires are unlimited” and “ 
Man seeks to satisfy his desires with the least exertion.”

 

Harry

 

******************************

Henry George School of Los Angeles

Box 655  Tujunga  CA  91043

Tel: 818 352-4141

******************************

 

From: [email protected] 
[mailto:[email protected]] On Behalf Of Ed Weick

Sent: Friday, July 03, 2009 5:58 AM

To: [email protected]

Cc: futurework

Subject: Re: [Ottawadissenters] Why we cannot be reasonable(Kristof)

 

 

 

 

 

About the only people who still see people as rational are (some) economists.  
Akerlof's and Shiller's "Animal Spirits" deals with irrationality in the market 
economy.  I could only read about half of it after concluding, many times, that 
they were telling us things that most of us already knew.

 

Ed 

 

 

----- Original Message ----- 

From: Arthur Cordell 

To: [email protected] 

Sent: Thursday, July 02, 2009 9:44 PM

Subject: FW: [Ottawadissenters] Why we cannot be reasonable(Kristof)

 

From: Arthur Cordell [mailto:[email protected]] 

Sent: Thursday, July 02, 2009 9:44 PM

To: '[email protected]'; 'undisclosed-recipients:'

Subject: RE: [Ottawadissenters] Why we cannot be reasonable(Kristof)

And there is the illusion that people are rational.  Not.  We rationalize our 
irrational decisions and call ourselves rational.

Hmmm.

Arthur

From: [email protected] 
[mailto:[email protected]] On Behalf Of Harry Pollard

Sent: Thursday, July 02, 2009 8:03 PM

To: [email protected]; 'undisclosed-recipients:'

Subject: RE: [Ottawadissenters] Why we cannot be reasonable(Kristof)

 

 

 

Perhaps people think that Anthropogenic Global Warming is a scam and not to be 
trusted.

Harry

******************************

Henry George School of Los Angeles

Box 655  Tujunga  CA  91043

Tel: 818 352-4141

******************************

From: [email protected] 
[mailto:[email protected]] On Behalf Of Steve Kurtz

Sent: Thursday, July 02, 2009 1:21 PM

To: undisclosed-recipients:

Subject: [Ottawadissenters] Why we cannot be reasonable(Kristof)

Thanks to Nicole M.

July 2, 2009

Op-Ed Columnist

When Our Brains Short-Circuit 

By NICHOLAS D. KRISTOF

Our political system sometimes produces such skewed results that it’s difficult 
not to blame bloviating politicians. But maybe the deeper problem lies in our 
brains.

Evidence is accumulating that the human brain systematically misjudges certain 
kinds of risks. In effect, evolution has programmed us to be alert for snakes 
and enemies with clubs, but we aren’t well prepared to respond to dangers that 
require forethought.

If you come across a garter snake, nearly all of your brain will light up with 
activity as you process the “threat.” Yet if somebody tells you that carbon 
emissions will eventually destroy Earth as we know it, only the small part of 
the brain that focuses on the future — a portion of the prefrontal cortex — 
will glimmer.

“We humans do strange things, perhaps because vestiges of our ancient brain 
still guide us in the modern world,” notes Paul Slovic, a psychology professor 
at the University of Oregon and author of a book on how our minds assess risks.

Consider America’s political response to these two recent challenges:

1. President Obama proposes moving some inmates from Guantánamo Bay, Cuba, to 
supermax prisons from which no one has ever escaped. This is the “enemy with 
club” threat that we have evolved to be alert to, so Democrats and Republicans 
alike erupt in outrage and kill the plan.

2. The climate warms, ice sheets melt and seas rise. The House scrounges a 
narrow majority to pass a feeble cap-and-trade system, but Senate passage is 
uncertain. The issue is complex, full of trade-offs and more cerebral than 
visceral — and so it doesn’t activate our warning systems.

“What’s important is the threats that were dominant in our evolutionary 
history,” notes Daniel Gilbert, a professor of psychology at Harvard 
University. In contrast, he says, the kinds of dangers that are most serious 
today — such as climate change — sneak in under the brain’s radar.

Professor Gilbert argues that the threats that get our attention tend to have 
four features. First, they are personalized and intentional. The human brain is 
highly evolved for social behavior (“that’s why we see faces in clouds, not 
clouds in faces,” says Mr. Gilbert), and, like gazelles, we are instinctively 
and obsessively on the lookout for predators and enemies.

Second, we respond to threats that we deem disgusting or immoral — 
characteristics more associated with sex, betrayal or spoiled food than with 
atmospheric chemistry. 

“That’s why people are incensed about flag burning, or about what kind of sex 
people have in private, even though that doesn’t really affect the rest of us,” 
Professor Gilbert said. “Yet where we have a real threat to our well-being, 
like global warming, it doesn’t ring alarm bells.” 

Third, threats get our attention when they are imminent, while our brain 
circuitry is often cavalier about the future. That’s why we are so bad at 
saving for retirement. Economists tear their hair out at a puzzlingly 
irrational behavior called hyperbolic discounting: people’s preference for 
money now rather than much larger payments later.

For example, in studies, most Americans prefer $50 now to $100 in six months, 
even though that represents a 100 percent return. 

Fourth, we’re far more sensitive to changes that are instantaneous than those 
that are gradual. We yawn at a slow melting of the glaciers, while if they 
shrank overnight we might take to the streets.

In short, we’re brilliantly programmed to act on the risks that confronted us 
in the Pleistocene Age. We’re less adept with 21st-century challenges.

At the University of Virginia, Professor Jonathan Haidt shows his Psychology 
101 students how evolution has prepared us to fear some things: He asks how 
many students would be afraid to stand within 10 feet of a friend carrying a 
pet boa constrictor. Many hands go up, although almost none of the students 
have been bitten by a snake. 

“The objects of our phobias, and the things that are actually dangerous to us, 
are almost unrelated in the modern world, but they were related in our ancient 
environment,” Mr. Haidt said. “We have no ‘preparedness’ to fear a gradual rise 
in the Earth’s temperature.”

This short-circuitry in our brains explains many of our policy priorities. We 
Americans spend nearly $700 billion a year on the military and less than $3 
billion on the F.D.A., even though food-poisoning kills more Americans than 
foreign armies and terrorists. We’re just lucky we don’t have a cabinet-level 
Department of Snake Extermination.

Still, all is not lost, particularly if we understand and acknowledge our 
neurological shortcomings — and try to compensate with rational analysis. When 
we work at it, we are indeed capable of foresight: If we can floss today to 
prevent tooth decay in later years, then perhaps we can also drive less to save 
the planet. 

•

I invite you to visit my blog, On the Ground. Please also join me on Facebook, 
watch my YouTube videos and follow me on Twitter. 

 

 

 

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