Monday, January 7, 2013

System 1 and System 2 cont'd

SLOWLY reading Thinking Fast and Slow---Kahneman does not write page turners. I'm up to Chapter 8 and yesterday had a mild epiphany about the significance of System 1 and System 2 in society. Much of organizational control, be it governmental, corporate or even consumer marketing aims to create an environment in which System 2 NEVER COMES INTO PLAY.

When the established order of things is operating optimally, System 1 makes all the decisions based on whatever information (or lack of information) is made available. When System 2 enters the decision process control erodes. The subject might ponder the information, deem it inadequate or see it in a way not even imagined by those creating and conveying it. Uncertainty enters the arena. The status quo is thereby threatened, and the institutions that created the status quo thrive on the absence of uncertainty in the outcome of decisions.

This will become an increasing problem with Climate Change issues. Creative, out of the box, solutions are needed and those generally arise from System 2 processes. Is there a way to shift System 1 generated responses in a more energy efficient direction or at least to trigger increased reference to System 2 thinking prior to decisions great and small?

BTW this System 1 bias is and has been a major problem for real estate. Information is carefully filtered by trade organizations to create a very predictable sale process conducted by a minimally diverse population of agents and brokers who represent a very diverse array of clients, each with unique interests. Somewhere between the real world and the pigeon holes of a one size fits all business environment, real estate ceases to be an art and becomes a pursuit predominantly practiced by adept technicians.

Tuesday, January 1, 2013

System 1, System 2

Several years ago I became interested in the process of decision making. At the time I was starting to take more photographs for other brokers and also doing some website design. I thought if I understood how Buyers made decisions about housing purchases I could build better websites and take photos with strong resonance for Buyers. I read a number of books and papers (the latent academic streak at work). Among them were papers by Daniel Kahneman and Amos Tversky.

As you know from this blog, I'm increasingly troubled by the apparent inability of people from most walks of life to make apparently rational decisions about energy use and the future of Earth. Consumers, those in government and those in the corporate sector are not performing in a way that creates much optimism for the quality of life to be experienced by coming generations.

I purchased Kahneman's Thinking Fast and Slow just over a year ago and never got around to reading it. I always have 3-4 books going and Thinking Fast and Slow just never made it into the mix, I think because the book is of substantial size and rich content. I knew it was going to be slow going and it was a busy year--best for quick reads, if not for optimal effect.

A few days ago I was looking at the smallish pile of unread books for the next read--to follow Visualizing Climate Change (a BIG book indeed!). I had the idea that Kahnman's System 1 and System 2 might offer a platform for understanding why Climate Change decisions aren't going very well and, more importantly, how to get System 2 fired up more often in confronting choices affecting the Earth.

I anticipate a nexus between the visualization elements able to alter behavior and System 1/System 2.

That's a brief background for some upcoming posts---if it sounds interesting, read the Visualization of Climate Change and Thinking Fast and Slow. A thorough understanding of those two books will move the reader well along a path to the cutting edge of Climate Change psychology. It will also demonstrate the failure of our various institutions to meaningfully engage the real challenges ahead.