Econs

Notes

Econs represent humans in their "purest" logical form. Econs are always rational, i.e use only system 2, they are immune to matters of Anchoring, Priming or Emotional hijacking. The only metric for their decision making is expected Utility.

As a simple assumption in the field of economics, we assume that people are econs, that they are rational agents that have full information, complete freedom to make any choice they want, and have the mental capabilities to follow through with their decision.

They seem to forget the power of Social Environment, the effects of Environmental design, and cases of Akrasia, where we fail to act despite our best intentions. Econs have supposably aligned their behavior with their preference, so Behavioralism works for econs. By understanding someone's Incentives, you can know everything about their behavior.

We never were, and never will be econs. We are social creatures, guided by emotions more often than reason, limited in information, time and energy, and prone to make many many mistakes.

Visual

Overview

🔼Topic:: behavioral psychology (MOC) ↩️Origin:: thinking fast and slow (book) 🔗Link::