Nobel laureate Daniel Kahneman, pioneer of behavioral economics, died

Utkarsh Classes Last Updated 29-03-2024

Death 4 min read

Nobel laureate Daniel Kahneman, pioneer of behavioral economics, died on March 27, 2024, at the age of 90.

About Daniel Kahneman:

Kahneman was born on March 5, 1934 in Tel Aviv. He served Israeli national service in the 1950s.
Daniel Kahneman was a famous Israeli-American psychologist and Nobel laureate.
Kahneman's groundbreaking work in the fields of behavioral economics and cognitive psychology has greatly improved the understanding of human decision making.
Kahneman's research earned him the Nobel Prize in Economic Sciences in 2002.
Kahneman published his bestseller ‘Thinking, Fast and Slow’ in 2011, which offered an exploration of the human brain.
Daniel Kahneman and Amos Tversky reshaped economics through collaboration. Tversky died in 1996.
Economists say that had Tversky not died in 1996 he certainly would have shared the prize. Nobel is not given posthumously.

Kahneman's quotes are world famous which are useful in decision making as well as investment. Major among these are the following:
Importance: “Nothing is as important as we think it is while we are thinking about it.”
Confidence: "High confidence declarations primarily indicate that a person has constructed a coherent story in his mind, not necessarily that the story is true."
Predictions: "However, if you choose to deceive yourself by accepting extreme predictions, however, you will better be aware of your self-indulgence."
The Future: "The idea that the future is unpredictable is being weakened every day by the ease with which the past is explained away."
Ignorance: "We are blind to our blindness. We have little idea of how little we know. We were not created to know how little we know."
Anecdotal: "People who have information about an individual case rarely feel the need to know the statistics of the class to which the case belongs."
Stop and reflect: "If there is time to reflect, it might be a good idea to slow down."
Bad news: "Humans and other animals have a mechanism in their brains that is designed to prioritize bad news."
Losses: "A person who has not made peace with his losses may accept gambling that would otherwise be unacceptable to him."