“It’s as if you went into a bathroom in a bar and saw a guy pissing on his shoes, and instead of thinking he has some problem with his aim, you suppose he has a positive utility for getting his shoes wet”
Statistical Modeling, Causal Inference, and Social Science 2014-09-10
Summary:
The notion of a geocentric universe has come under criticism from Copernican astronomy. . . . A couple months ago in a discussion of differences between econometrics and statistics, I alluded to the well-known fact that everyday uncertainty aversion can’t be explained by a declining marginal utility of money. What really bothers me—it’s been bothering […]
The post “It’s as if you went into a bathroom in a bar and saw a guy pissing on his shoes, and instead of thinking he has some problem with his aim, you suppose he has a positive utility for getting his shoes wet” appeared first on Statistical Modeling, Causal Inference, and Social Science.