Hacker News new | past | comments | ask | show | jobs | submit login

Is loss aversion rational? To an economist, no. To most seemingly rational people, apparently.



That is because economy did not allow for bounded rationality. They're talking about optimally rational with perfect knowledge. Also known as a spherical cow.

Ultimately, rational is supposed to mean reasoned, not optimal. Heuristics can be rational if applied with reason and devised with good valid reasoning.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: