Author

Daniel Kahneman, Olivier Sibony

6 key ideas, each explained in our own words.

Noise

  1. IDEA 1

    Bias and noise are different

    Bias is judgements consistently off in one direction. Noise is unwanted scatter: different experts, or the same expert on different days, giving different answers to the same case.

  2. IDEA 2

    Noise is everywhere

    Insurance quotes, sentencing and hiring decisions vary wildly between people looking at identical files. Organisations rarely measure it, so they rarely see it.

  3. IDEA 3

    Run a noise audit

    Give several people the same cases independently and compare answers. The spread shows how much of your decision-making is a lottery.

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