Daniel Kahneman, 87, was awarded the Nobel prize in economics in 2002 for his work on the psychology of judgment and decision-making. His first book, Thinking, Fast and Slow, a worldwide bestseller, set out his revolutionary ideas about human error and bias and how those traits might be recognised and mitigated. A new book, Noise: A Flaw in Human Judgment, written with Olivier Sibony and Cass R Sunstein, applies those ideas to organisations. This interview took place last week by Zoom with Kahneman at his home in New York.
Exponential phenomena are almost impossible for us to grasp. We are very experienced in a more or less linear world. And if things are accelerating, they’re usually accelerating within reason. Exponential change [as with the spread of the virus] is really something else. We’re not equipped for it. It takes a long time to educate intuition.
There is going to be massive disruption. The technology is developing very rapidly, possibly exponentially. But people are linear. When linear people are faced with exponential change, they’re not going to be able to adapt to that very easily. So clearly, something is coming… And clearly AI is going to win [against human intelligence]. It’s not even close. How people are going to adjust to this is a fascinating problem – but one for my children and grandchildren, not me.