Quotes About Decision theory

Frederick Mosteller, who would later found Harvard's statistics department, was there. So was Leonard Jimmie Savage, the pioneer of decision theory and great advocate of the field that came to be called Bayesian statistics.* Norbert Wiener, the MIT mathematician and the creator of cybernetics, dropped by from time to time. This was a group where Milton Friedman, the future Nobelist in economics, was often the

We are, after all, homo economicus .

In brief, through clever tests, the application of their backgrounds in decision theory and psychology, and the use of statistics, the two of them proved that our reasoning is imperfect, that we make errors in judgment, and that small differences in how information is presented can have a substantial effect on our reactions.