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comment by goobster
goobster  ·  2017 days ago  ·  link  ·    ·  parent  ·  post: Ergodicity - Bringing altruism and collaboration into economic theory

    People band together if there's a clear long-term benefit - is that such a revolutionary insight?

In economic theory, apparently it is. The difficulty is that economic theory has relied heavily on mathematical models, which - until recently - were not very good at calculation the very human parts of market interactions: emotions, altruism, collaboration, etc. Economists took a distinctly reductive approach to human behavior and said, basically, "If the person is going to gain monetarily from the interaction, then they will do it. Otherwise they will not."

It was a very black and white treatment of something that is only black/white in psychopaths. Normal humans react with more nuance, and by evaluating other factors including altruistic inclinations.