Home
/
RELIGION & LIBERTY ONLINE
/
Is behavioral economics blind to its blindness?
Is behavioral economics blind to its blindness?
Aug 31, 2026 3:26 AM

I find some of the work of behavioral economists, especially that of Daniel Kahneman to be very interesting and important. Thinking Fast and Slow is essential reading. His distinctions between what he calls Type I and Type II thinking is very insightful, and the broad critique that human beings don’t always act like rational maximizers is a correct. Jennifer Roback Morse deals with this issue well in her excellent book, Love and Economics.

Yet despite many good elements of behavioral economics, some of the leading voices including Richard Thaler and Dan Ariely seem to identify the limited, empiricist rationality that they critique in the idea of homo economicus with rationality itself. That is, they appear equate a constricted notion of reason with rationality and then assert that people don’t always act rationally. Of course it is true that people don’t always act rationally. We make mistakes of intuition all the time as Kahneman points out.

But we have to be also consider that if we had a broader notion of reason that was not limited to empiricism or to rational maximization, some of those so called mistakes could be perfectly rational. I also worry that behavioral economists can fall into the trap of not applying their theory to their own conclusions. Perhaps they are just a bit blind to the obvious…

Are we blind about our blindness?

Related to the this, here is an interesting piece on Aeon by Oxford Management professor, Teppo Felinon The Fallacy of Obviousness. This is a wide ranging piece that addresses some the limited view of rationality and some of the underlying materialism of behavioral economics, cognitive sciences, and artificial intelligence. One of the questions Fellin addresses is the notion that humans are blind to the obvious which underlies much of the work of Kahneman and the behavioral economists.

Felin uses the example of the famous gorilla test by psychologists Daniel Simons and Christopher Charbis. (Spoiler alert–if you haven’t taken this test and want to, stop and take it and then continue reading)

Did you see the gorilla? If not, you are not alone. Many people missed it.

In case you didn’t watch it here’s how the test goes: The Gorilla Test is a test about our attention and how we can miss very obvious things. Test takers watch a video of people passing a ball and told to count how many times they pass the ball. During the middle of the video a person dressed in a gorilla suit walks into view, pounds his chest, and walks off. You can’t miss it. Except or course, people do. This test has been used to demonstrate that we make many errors in perception. Behavioral economists like Daniel Kahneman have pointed to this experiment as an example of how human beings are “blind to the obvious, and that we also are blind to our blindness.”

True as far as it goes, but as Felin points out, we don’t only miss the gorilla, we miss lots of things. We miss the color of people’s shoes, the color of the paint on the wall, how many of the players were men or women. We miss these things not only because we miss the obvious, but because we were specifically told to focus on a certain thing—counting the balls. If we were told to focus on the color of each person’s shoes, we would not have known how many times they passed the ball.

Missing the gorilla may we we are blind to the obvious. But what else does it mean? Felin argues there is another interpretation:

The alternative interpretation says that what people are lookingfor– rather than what people are merely lookingat– determines what is obvious. Obviousness is not self-evident. Or as Sherlock Holmes said: ‘There is nothing more deceptive than an obvious fact.’ This isn’t an argument against facts or for ‘alternative facts’, or anything of the sort. It’s an argument about what qualifies as obvious, why and how. See, obviousness depends on what is deemed to be relevant for a particular question or task at hand. Rather than passively accounting for or recording everything directly in front of us, humans – and other organisms for that matter – instead actively lookforthings. The implication (contrary to psychophysics) is that mind-to-world processes drive perception rather than world-to-mind processes. The gorilla experiment itself can be reinterpreted to support this view of perception, showing that what we see depends on our expectations and questions – what we are looking for, what question we are trying to answer.

As Felin and others have pointed out, what we are told to focus on, and equally important, our underlying assumptions, values, and beliefs shape how we see the world. This is an underlying problem with the dominant approach to the social sciences in general and related to the point that Benedict XVI made in the famous Regensburg Address, that our concept of rationality is constricted and incoherent.

None of this implies that humans don’t make mistakes or are always rational even under a broad concept of rationality. Using right reason is not easy and we make mistakes all the time. The point here is that what we focus on, and the frameworks that we use to look at a problem, the assumptions and beliefs we have, what Durkheim calls a “social fact” shape the way we see the world and what es obvious or not. I am not suggesting that everything is therefor relative, but one’s perspective does influence our understanding and what we see or do not see

Felin writes:

The biologist Jakob von Uexküll (1864-1944) argued that all species, humans included, have a unique ‘Suchbild’ – German for a seek- or search-image – of what they are looking for. In the case of humans, this search-image includes the questions, expectations, problems, hunches or theories that we have in mind, which in turn structure and direct our awareness and attention. The important point is that humans do not observe scenes passively or neutrally. In 1966, the philosopher Karl Popper conducted an informal experiment to make this point. During a lecture at the University of Oxford, he turned to his audience and said: ‘My experiment consists of asking you to observe, here and now. I hope you are all cooperating and observing! However, I feel that at least some of you, instead of observing, will feel a strong urge to ask: “Whatdo you want me to observe?”’ Then Popper delivered his insight about observation: ‘For what I am trying to illustrate is that, in order to observe, we must have in mind a definite question, which we might be able to decide by observation.’

In other words, there is no neutral observation. The world doesn’t tell us what is relevant. Instead, it responds to questions. When looking and observing, we are usually directedtowardsomething, toward answering specific questions or satisfying some curiosities or problems

There could be some debate about neutral observation. There could be an occasion when a person could be observing without a specific focus and discover something he had not previously noticed. But even then it is a specific, unique individual in a specific context that is doing the observation.And the general point holds that our decisions about what to analyze, what data to collect, and puter algorithms to write are all shaped by previous ideas. Technology is not neutral.

This is an important topic that has broad implications for the social sciences and for how we understand artificial intelligence and consciousness. Ultimately much of es down to fundamental questions about philosophical anthropology and the nature of reason.Definitely worth reading the whole thing.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Report: Acton Institute No. 1 in West Michigan nonprofit ranking
In a survey of local charities and nonprofits in the West Michigan region, WZZM TV found that the Acton Institute topped 45 other organizations. David Bailey, an investigative reporter for the Grand Rapids, Michigan-based ABC affiliate, used data from the Charity Navigator nonprofit watchdog organization pile his ranking. You can see a full list of the West Michigan charities and nonprofits at the WZZM website. Here’s a transcript from Bailey’s report: At the top of our rankings is the Acton...
Are you an ideological robot?
Since you’re reading this post I assume you spend a lot of time online. You likely engage between dozens and hundreds of people every day, which raises the question: How do you know the people you engage with on social media are not robots? How do you know the content you’re reading isn’t produced by some android? How do you know that I’m not a robot? You could probably think of reasons why you assume I’m not a robot (i.e.,...
This Thanksgiving, be thankful for the low cost of food
Your Thanksgiving dinner this year may cost less than a meal at your local fast food restaurant. According to an informal price survey conducted by theAmerican Farm Bureau Federation(AFBF), the average cost of this year’s Thanksgiving meal for ten people is $49.12—less than $5 per person. “For the second consecutive year, the overall cost of Thanksgiving dinner has declined,” says AFBF Director of Market Intelligence John Newton. “The cost of the dinner is the lowest since 2013 and second-lowest since...
The Communist who praised freedom, property, and morality
Today’s Religion & Liberty Transatlantic features a biography of the forgotten architect of perestroika, Alexander Yakovlev (1923-2005). Born to Communist parents, rising to e the head of propaganda in the Soviet Union, Yakovlev came to embrace freedom and expose the horrors of Marxist-Leninist rule – not least, the persecution of people of faith. In the pantheon of late figures who contributed to the fall of Communism, Yakovlev deserves more notoriety than he receives, argues Kaetana Leontjeva-Numaviciene in her essay. Although...
Video: Rev. Robert Sirico and R. R. Reno debate the merits of the free market
Free market economics is a subject worth repeatedly visiting, to examine its merits and question its possible drawbacks. The idea of free markets has e under fire by some conservative thinkers, including editor of First Things magazine, R. R. Reno, prompting a response in defense of free markets from Rev. Robert Sirico, co-founder and president of the Acton Institute. On November 7 and 8, Reno and Sirico were given the chance to discuss and defend their position on free markets....
7 Figures: Marriage, family, and economics in 2017
The 2017 American Family Surveywas designed to understand the “lived experiences of Americans in their relationships and families” andprovide “context for understanding Americans’ life choices, economic experiences, attitudes about their own relationships, and evaluations of the relationships they see around them.” Here are seven figures you should know from this recently released survey: 1. Most respondents believe economic issues are one of the core challenges facing families. People who had experienced an economic crisis in the past year (41 percent),...
Religion & Liberty: Broetje’s big garden
Broetje Orchards For this fall edition of Religion & Liberty, the cover story focuses heavily on an autumn staple: the apple. Over the summer I observed an Acton-sponsored event for pastors in Walla Walla, Washington. During this event, several Acton staff and event attendees had a chance to tour Broetje Orchards in Prescott, Washington, and meet several members of the Broetje family. This family not only runs one of the biggest fruit providers in the nation but also constantly finds...
The tradeoff between fun and wages
Note: This is post #57 in a weekly video series on basic microeconomics. If you had to choose, would you rather be a sewer inspector spending your days underground or a lifeguard on the beach? Most would say that being a lifeguard is a more fun job, but a sewer inspector has higher wages pensate for the less-fun aspects of the job. In this video, Marginal Revolution University discusses the tradeoff between fun and wages and show how this illustrates...
‘Let them eat aid’: The error of a ‘Marshall Plan for Africa’
European Parliament President Antonio Tajani has called for Europe to provide an ambitious “Marshall Plan for Africa,” something they have debatedfor more than a decade. The proposed $47 billion aid package would emulate the U.S. plan that purportedly saved much of Europe from embracing Marxism after World War II – but Religion & Liberty Transatlanticauthor Ángel Carmona warns that historical and economic reality may put a damper on the e. The efficacy and operation of the Marshall Plan, implemented under...
Start-up nations: Are ‘floating cities’ a frontier for freedom?
From the mega-church municipalities of Nigeria to the ”private cities” of India, swaths of entrepreneurial pioneers are responding to the challenges of urbanization and political disorder with new approaches to governance munity transformation. As of now, the majority of that practical experimentation has been a “privatization of necessity,” occurring mostly in disrupted areas of the developing world with a focus on solving immediate economic problems. Yet those same ideas are starting to pick up steam in modernized countries as well,...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved