I was just sitting here reading some abstracts and waiting for Sandroni to call me back when I found a paper that discredits prospect theory based on empirical and introspective evidence. I realized that for a paper to propose an alternative reference dependent model to prospect theory, then the field must have advanced far enough that it is no longer necessary to justify the use of a reference point. For those of you non-behavioral economists out there, the alternative hypothesis states that if the field did not accept reference points as standard then you would have to support prospect theory or else no one would listen to you.
So then I started thinking about how much trouble I'm having convincing professors that I have a new and interesting idea. I can imagine PB saying to me, "Well, if you think that that's a compelling argument, then I say to you why not just use prospect theory." Whenever he says something like this to me, I usually have a counter argument prepared (he's very predictable), but PB refuses to be wrong. Just suppose, for the sake of argument, that I counter spectacularly, PB's reply: Now tell me why classical theory isn't good enough, I just define the preferences so that that's the solution. Then, I provide a compelling argument. PB: "well, now we're back to prospect theory"
...And Jack thought "he'll kill me if I do, he'll kill me if I don't. There's only one way to get out of this..."
So it occurred to me just now that professors who don't let students win the argument ought to be pretty insecure in their own competence. After all, we're just students. It's easy to win an argument against a student. By design, the professor is smarter, better read and better prepared. He's (She's, in my case with undergrads) spent thousands of times more hours thinking about similar problems and so he's quicker to provide a counter argument that seems sound even if its full of holes -- because he knows that you don't know where the holes are.
How pathetic is it that these professors in their position of secure superiority can't just be honest.
So then I started thinking about how much trouble I'm having convincing professors that I have a new and interesting idea. I can imagine PB saying to me, "Well, if you think that that's a compelling argument, then I say to you why not just use prospect theory." Whenever he says something like this to me, I usually have a counter argument prepared (he's very predictable), but PB refuses to be wrong. Just suppose, for the sake of argument, that I counter spectacularly, PB's reply: Now tell me why classical theory isn't good enough, I just define the preferences so that that's the solution. Then, I provide a compelling argument. PB: "well, now we're back to prospect theory"
...And Jack thought "he'll kill me if I do, he'll kill me if I don't. There's only one way to get out of this..."
So it occurred to me just now that professors who don't let students win the argument ought to be pretty insecure in their own competence. After all, we're just students. It's easy to win an argument against a student. By design, the professor is smarter, better read and better prepared. He's (She's, in my case with undergrads) spent thousands of times more hours thinking about similar problems and so he's quicker to provide a counter argument that seems sound even if its full of holes -- because he knows that you don't know where the holes are.
How pathetic is it that these professors in their position of secure superiority can't just be honest.
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With Gerbils on the Brain
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