Saturday, March 3, 2018

Wisdom Of The Week

COWEN: In your wonderful new book, The Elephant in the Brain, you outline a theory of human behavior where signaling has a great deal of explanatory power. If you had to, in as crude or blunt terms as possible, how much of human behavior ultimately can be traced back to some kind of signaling? What’s your short, quick, and dirty answer?

HANSON: In a rich society like ours, well over 90 percent.

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COWEN: Here’s another response to the notion that everything’s about signaling. You could say, “Well, that’s what people actually enjoy.” If signaling is 90 percent of whatever, surely it’s evolved into being parts of our utility functions. It makes us happy to signal. So signaling isn’t just wasteful resources.

What we really want to do is set up a world that caters to the elephant in our brain, so to speak. We just want all policies to pander to signaling as much as possible. Maybe make signals cheaper, but just signals everywhere now and forever. What says you?

HANSON: I think our audience needs a better summary of this thesis that I’m going to defend here. The Elephant in the Brain main thesis is that in many areas of life, perhaps even most, there’s a thing we say that we’re trying to do, like going to school to learn or going to the doctor to get well, and then what we’re really trying to do is often more typically something else that’s more selfish, and a lot of it is showing off.

If that’s true, then we are built to do that. That’s the thing we want to do, and in some sense it’s a great world when we get to do it.

My complaint isn’t really that most people don’t acknowledge this. I accept that people may be just fine leaving the elephant in their brain and not paying attention to it and continuing to pretend one thing while they’re doing another. That may be what makes them happy and that may be OK.

My stronger claim would be that policy analysts and social scientists who claim that they understand the social world well enough to make recommendations for changes—they should understand the elephant in the brain. They should have a better idea of hidden motives because they could think about which institutions that we might choose differently to have better outcomes.


- Tyler Cowen interviews Robin Hanson about his book Elephant in the Brain: Hidden Motives in Everyday Life

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