My guest today is Thomas Gilovich, an American psychologist who is the Irene Blecker Rosenfeld Professor of Psychology at Cornell University. He has conducted research in social psychology, decision making, behavioral economics, and has written popular books on these subjects.
In this episode of Trend Following Radio we discuss:
- How his world dovetailed into money and markets
- Basketball, streak shooting, and the “hot hand”
- Randomness and the clustering illusion
- The missing Malaysian Airlines flight and probability
- The reluctance to accept a probabilistic view of the world
- Politics, predictions, and probabilities
- People who see the world in black and white
- Drawing conclusions from incomplete and unrepresentative evidence, and how to avoid that folly
- The position of the devil’s advocate, and the importance of that role
- Gilovich’s response to the media’s talking heads, and their often black and white opinions
- Behavioral economics vs. traditional economics
- When people do the wrong thing because the public demands it
- Bill James and the closer
- Instinct vs. considered judgment and test taking
- Irrationality in financial markets and bubbles
- Loss aversion
- Why you don’t need to be better than the market
Listen to this episode:
- Listen to this podcast on iTunes. (Please leave a rating!)
- Listen on Spotify.
- Listen on Stitcher.
- Libysn RSS.
- Download as MP3 by right-clicking here and choosing “save as.”
- Free Video.
Jump in!
