On his first day of Economics 101 in university, Barry Ritholtz realized that the discipline itself was missing something fundamental.
The Wall Street veteran says that when his professor began lecturing, “practically the first words out of his mouth were, ‘We’re going to deal with Homo economicus. Humans are rational, profit-maximizing creatures.’ Five minutes into my first economics class, I raise my hand and say, ‘But humans aren’t rational!’” The professor told Ritholtz he should imagine that they were. “Okay,” he thought, “imagine my grandmother had wheels. She’d be a bus.”
Read Full Article »