Daniel Kahneman and the concept of the true self

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Abstract

Kahneman and Tversky's 'Prospect Theory' paper famously demolishes expected utility theory as a predictive device. However, it presents deviations from that theory as 'normatively unacceptable' and argues that decision-makers would normally correct them when possible. In a later paper, Kahneman rejects a similar argument (the 'discovered preference' hypothesis) advanced by Plott. Later still, Kahneman endorses Sunstein and Thaler's 'libertarian paternalism', which aims to help people avoid deviating from their 'true' preferences. I report an email correspondence between Kahneman and me in which we debated whether his position on libertarian paternalism was consistent with his critique of Plott's hypothesis.

Original languageEnglish
Pages (from-to)285 292
Number of pages8
JournalBehavioural Public Policy
Volume9
Issue number2
Early online date2 Oct 2024
DOIs
Publication statusE-pub ahead of print - 2 Oct 2024

Keywords

  • Kahneman
  • true self
  • true preference
  • discovered preference

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