Apr 2, 2019 · 1h 22m · knowledge-project

#55 Scott Page: Becoming a Model Thinker

Scott Page · 1h 5m spoken Shane Parrish · 10m spoken
0:00 / 0:00

gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions

In this episode of The Knowledge Project, complex systems professor Scott Page joins Shane Parrish to explore how cognitive diversity, collective intelligence, and a diverse latticework of mental models enable individuals and organizations to navigate complex, non-linear realities.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Shane holds 14.4% of the talking time here. How this is scored →

Shane as informed peer 4.1 Guest teaching 5.9 Guest disagreement 1.2 Shane pushing back 1.1
05100:0020:0040:001:00:001:20:001:49–8:23 · Shane as informed peer 3/10 Defining Mental Models and Collective Intelligence Shane sets the stage by asking Scott to define mental models. Scott provides a lecture on mapping reality to mathematical frameworks and his intellectual transition at the Santa Fe Institute toward collective intelligence.8:24–13:15 · Shane as informed peer 4/10 Cognitive Diversity and the Wisdom Hierarchy Shane asks about cognitive diversity as diverse mental models. Scott details the wisdom hierarchy (data, information, knowledge, wisdom) and illustrates model selection with a story about Oracle's treasurer and Charlie Munger's latticework.13:17–18:37 · Shane as informed peer 5/10 Wisdom of Crowds vs. Linear Statistical Models Shane seeks clarification on where mental models sit in the data-to-wisdom spectrum. Scott refines the idea by showing how models filter data and describes how human crowds beat linear regression models on non-standard variables.18:38–23:52 · Shane as informed peer 5/10 Structuring The Model Thinker and Human Capital Shane posits that accumulating more models is valuable only when relevant to specific problems. Scott validates this and references Shane's past interview with Atul Gawande to discuss human capital toolboxes.23:52–30:28 · Shane as informed peer 3/10 Frameworks for Model Selection and Contextual Nuance Shane asks how one decides which mental models to prioritize. Scott delivers an extensive structured guide on analyzing actors, rationality rules of thumb, and aggregation dynamics like Markov processes.30:28–35:25 · Shane as informed peer 4/10 Surfacing Assumptions and Mechanism Design Shane asks whether models serve to surface hidden assumptions. Scott enthusiastically agrees, discussing mechanism design, Gell-Mann's quip on thinking electrons, and institutional choice across markets, hierarchies, democracies, and algorithms.35:25–40:47 · Shane as informed peer 4/10 Rethinking Education, Specialization, and Model Toolboxes Shane questions why traditional schooling trains students on single-model frameworks. Scott explains the historical legacy of Platonic joints and rejects the common blind-men-and-the-elephant metaphor for mental models.40:48–46:32 · Shane as informed peer 4/10 Spatial Models vs. Colonel Blotto Games Shane inquires about practical methods for indexing and selecting models during decisions. Scott contrasts spatial preference models with Colonel Blotto hedonic zero-sum games.46:32–53:03 · Shane as informed peer 5/10 Educating Children for Complexity and the Logic-Structure-Function Lens Shane connects model thinking to evolutionary fitness and asks how to teach children about complexity. Scott outlines a triadic framework of passion, innate ability, and systemic purpose.53:04–59:44 · Shane as informed peer 3/10 Classroom Experiments in Collective Intelligence Shane pushes on how to teach concepts like power laws to young kids. Scott introduces the logic-structure-function framework and recounts an elaborate classroom simulation pitting physicists, Hayekian markets, and waggle-dancing bees.59:44–1:02:56 · Shane as informed peer 5/10 Rush Hour Experiments: Codified Models vs. Tacit Knowledge Scott explains classroom experiments with the puzzle game Rush Hour to demonstrate codified vs tacit knowledge. Shane jumps in to share his personal experience using Rush Hour with his children based on Adam Robinson's advice.1:02:56–1:07:08 · Shane as informed peer 3/10 Deep Dive: Power Law Distributions and Inequality Shane requests a deep dive into power law distributions. Scott contrasts power laws with bell curves, explaining preferential attachment, random walks, and self-organized criticality.1:07:09–1:10:35 · Shane as informed peer 4/10 Deep Dive: Concavity, Convexity, and Linear Fallacies Shane asks for an explanation of concavity and convexity, admitting he mixed them up in college physics. Scott outlines diminishing versus increasing returns and cautions against naive linear forecasting in macroeconomics.1:10:36–1:16:01 · Shane as informed peer 4/10 Deep Dive: Local Interaction Models and Organizational Culture Shane prompts a discussion on local interaction models. Scott illustrates coordination equilibria with humorous household habits like storing ketchup in the fridge before addressing organizational conformity.1:16:01–1:21:21 · Shane as informed peer 5/10 Perspective Taking and the Pragmatic Limits of Inclusion Shane introduces Ender's Game to highlight perspective taking. Scott links this to corporate drug approvals and contrasts academic liberal arts perspective-taking with pragmatic model testing.1:49–8:23 · Guest teaching 6/10 Defining Mental Models and Collective Intelligence Shane sets the stage by asking Scott to define mental models. Scott provides a lecture on mapping reality to mathematical frameworks and his intellectual transition at the Santa Fe Institute toward collective intelligence.8:24–13:15 · Guest teaching 6/10 Cognitive Diversity and the Wisdom Hierarchy Shane asks about cognitive diversity as diverse mental models. Scott details the wisdom hierarchy (data, information, knowledge, wisdom) and illustrates model selection with a story about Oracle's treasurer and Charlie Munger's latticework.13:17–18:37 · Guest teaching 6/10 Wisdom of Crowds vs. Linear Statistical Models Shane seeks clarification on where mental models sit in the data-to-wisdom spectrum. Scott refines the idea by showing how models filter data and describes how human crowds beat linear regression models on non-standard variables.18:38–23:52 · Guest teaching 4/10 Structuring The Model Thinker and Human Capital Shane posits that accumulating more models is valuable only when relevant to specific problems. Scott validates this and references Shane's past interview with Atul Gawande to discuss human capital toolboxes.23:52–30:28 · Guest teaching 7/10 Frameworks for Model Selection and Contextual Nuance Shane asks how one decides which mental models to prioritize. Scott delivers an extensive structured guide on analyzing actors, rationality rules of thumb, and aggregation dynamics like Markov processes.30:28–35:25 · Guest teaching 6/10 Surfacing Assumptions and Mechanism Design Shane asks whether models serve to surface hidden assumptions. Scott enthusiastically agrees, discussing mechanism design, Gell-Mann's quip on thinking electrons, and institutional choice across markets, hierarchies, democracies, and algorithms.35:25–40:47 · Guest teaching 6/10 Rethinking Education, Specialization, and Model Toolboxes Shane questions why traditional schooling trains students on single-model frameworks. Scott explains the historical legacy of Platonic joints and rejects the common blind-men-and-the-elephant metaphor for mental models.40:48–46:32 · Guest teaching 7/10 Spatial Models vs. Colonel Blotto Games Shane inquires about practical methods for indexing and selecting models during decisions. Scott contrasts spatial preference models with Colonel Blotto hedonic zero-sum games.46:32–53:03 · Guest teaching 5/10 Educating Children for Complexity and the Logic-Structure-Function Lens Shane connects model thinking to evolutionary fitness and asks how to teach children about complexity. Scott outlines a triadic framework of passion, innate ability, and systemic purpose.53:04–59:44 · Guest teaching 7/10 Classroom Experiments in Collective Intelligence Shane pushes on how to teach concepts like power laws to young kids. Scott introduces the logic-structure-function framework and recounts an elaborate classroom simulation pitting physicists, Hayekian markets, and waggle-dancing bees.59:44–1:02:56 · Guest teaching 4/10 Rush Hour Experiments: Codified Models vs. Tacit Knowledge Scott explains classroom experiments with the puzzle game Rush Hour to demonstrate codified vs tacit knowledge. Shane jumps in to share his personal experience using Rush Hour with his children based on Adam Robinson's advice.1:02:56–1:07:08 · Guest teaching 7/10 Deep Dive: Power Law Distributions and Inequality Shane requests a deep dive into power law distributions. Scott contrasts power laws with bell curves, explaining preferential attachment, random walks, and self-organized criticality.1:07:09–1:10:35 · Guest teaching 6/10 Deep Dive: Concavity, Convexity, and Linear Fallacies Shane asks for an explanation of concavity and convexity, admitting he mixed them up in college physics. Scott outlines diminishing versus increasing returns and cautions against naive linear forecasting in macroeconomics.1:10:36–1:16:01 · Guest teaching 6/10 Deep Dive: Local Interaction Models and Organizational Culture Shane prompts a discussion on local interaction models. Scott illustrates coordination equilibria with humorous household habits like storing ketchup in the fridge before addressing organizational conformity.1:16:01–1:21:21 · Guest teaching 5/10 Perspective Taking and the Pragmatic Limits of Inclusion Shane introduces Ender's Game to highlight perspective taking. Scott links this to corporate drug approvals and contrasts academic liberal arts perspective-taking with pragmatic model testing.1:49–8:23 · Guest disagreement 1/10 Defining Mental Models and Collective Intelligence Shane sets the stage by asking Scott to define mental models. Scott provides a lecture on mapping reality to mathematical frameworks and his intellectual transition at the Santa Fe Institute toward collective intelligence.8:24–13:15 · Guest disagreement 1/10 Cognitive Diversity and the Wisdom Hierarchy Shane asks about cognitive diversity as diverse mental models. Scott details the wisdom hierarchy (data, information, knowledge, wisdom) and illustrates model selection with a story about Oracle's treasurer and Charlie Munger's latticework.13:17–18:37 · Guest disagreement 2/10 Wisdom of Crowds vs. Linear Statistical Models Shane seeks clarification on where mental models sit in the data-to-wisdom spectrum. Scott refines the idea by showing how models filter data and describes how human crowds beat linear regression models on non-standard variables.18:38–23:52 · Guest disagreement 1/10 Structuring The Model Thinker and Human Capital Shane posits that accumulating more models is valuable only when relevant to specific problems. Scott validates this and references Shane's past interview with Atul Gawande to discuss human capital toolboxes.23:52–30:28 · Guest disagreement 1/10 Frameworks for Model Selection and Contextual Nuance Shane asks how one decides which mental models to prioritize. Scott delivers an extensive structured guide on analyzing actors, rationality rules of thumb, and aggregation dynamics like Markov processes.30:28–35:25 · Guest disagreement 1/10 Surfacing Assumptions and Mechanism Design Shane asks whether models serve to surface hidden assumptions. Scott enthusiastically agrees, discussing mechanism design, Gell-Mann's quip on thinking electrons, and institutional choice across markets, hierarchies, democracies, and algorithms.35:25–40:47 · Guest disagreement 2/10 Rethinking Education, Specialization, and Model Toolboxes Shane questions why traditional schooling trains students on single-model frameworks. Scott explains the historical legacy of Platonic joints and rejects the common blind-men-and-the-elephant metaphor for mental models.40:48–46:32 · Guest disagreement 1/10 Spatial Models vs. Colonel Blotto Games Shane inquires about practical methods for indexing and selecting models during decisions. Scott contrasts spatial preference models with Colonel Blotto hedonic zero-sum games.46:32–53:03 · Guest disagreement 1/10 Educating Children for Complexity and the Logic-Structure-Function Lens Shane connects model thinking to evolutionary fitness and asks how to teach children about complexity. Scott outlines a triadic framework of passion, innate ability, and systemic purpose.53:04–59:44 · Guest disagreement 1/10 Classroom Experiments in Collective Intelligence Shane pushes on how to teach concepts like power laws to young kids. Scott introduces the logic-structure-function framework and recounts an elaborate classroom simulation pitting physicists, Hayekian markets, and waggle-dancing bees.59:44–1:02:56 · Guest disagreement 1/10 Rush Hour Experiments: Codified Models vs. Tacit Knowledge Scott explains classroom experiments with the puzzle game Rush Hour to demonstrate codified vs tacit knowledge. Shane jumps in to share his personal experience using Rush Hour with his children based on Adam Robinson's advice.1:02:56–1:07:08 · Guest disagreement 1/10 Deep Dive: Power Law Distributions and Inequality Shane requests a deep dive into power law distributions. Scott contrasts power laws with bell curves, explaining preferential attachment, random walks, and self-organized criticality.1:07:09–1:10:35 · Guest disagreement 1/10 Deep Dive: Concavity, Convexity, and Linear Fallacies Shane asks for an explanation of concavity and convexity, admitting he mixed them up in college physics. Scott outlines diminishing versus increasing returns and cautions against naive linear forecasting in macroeconomics.1:10:36–1:16:01 · Guest disagreement 1/10 Deep Dive: Local Interaction Models and Organizational Culture Shane prompts a discussion on local interaction models. Scott illustrates coordination equilibria with humorous household habits like storing ketchup in the fridge before addressing organizational conformity.1:16:01–1:21:21 · Guest disagreement 2/10 Perspective Taking and the Pragmatic Limits of Inclusion Shane introduces Ender's Game to highlight perspective taking. Scott links this to corporate drug approvals and contrasts academic liberal arts perspective-taking with pragmatic model testing.1:49–8:23 · Shane pushing back 1/10 Defining Mental Models and Collective Intelligence Shane sets the stage by asking Scott to define mental models. Scott provides a lecture on mapping reality to mathematical frameworks and his intellectual transition at the Santa Fe Institute toward collective intelligence.8:24–13:15 · Shane pushing back 1/10 Cognitive Diversity and the Wisdom Hierarchy Shane asks about cognitive diversity as diverse mental models. Scott details the wisdom hierarchy (data, information, knowledge, wisdom) and illustrates model selection with a story about Oracle's treasurer and Charlie Munger's latticework.13:17–18:37 · Shane pushing back 2/10 Wisdom of Crowds vs. Linear Statistical Models Shane seeks clarification on where mental models sit in the data-to-wisdom spectrum. Scott refines the idea by showing how models filter data and describes how human crowds beat linear regression models on non-standard variables.18:38–23:52 · Shane pushing back 1/10 Structuring The Model Thinker and Human Capital Shane posits that accumulating more models is valuable only when relevant to specific problems. Scott validates this and references Shane's past interview with Atul Gawande to discuss human capital toolboxes.23:52–30:28 · Shane pushing back 1/10 Frameworks for Model Selection and Contextual Nuance Shane asks how one decides which mental models to prioritize. Scott delivers an extensive structured guide on analyzing actors, rationality rules of thumb, and aggregation dynamics like Markov processes.30:28–35:25 · Shane pushing back 1/10 Surfacing Assumptions and Mechanism Design Shane asks whether models serve to surface hidden assumptions. Scott enthusiastically agrees, discussing mechanism design, Gell-Mann's quip on thinking electrons, and institutional choice across markets, hierarchies, democracies, and algorithms.35:25–40:47 · Shane pushing back 1/10 Rethinking Education, Specialization, and Model Toolboxes Shane questions why traditional schooling trains students on single-model frameworks. Scott explains the historical legacy of Platonic joints and rejects the common blind-men-and-the-elephant metaphor for mental models.40:48–46:32 · Shane pushing back 1/10 Spatial Models vs. Colonel Blotto Games Shane inquires about practical methods for indexing and selecting models during decisions. Scott contrasts spatial preference models with Colonel Blotto hedonic zero-sum games.46:32–53:03 · Shane pushing back 1/10 Educating Children for Complexity and the Logic-Structure-Function Lens Shane connects model thinking to evolutionary fitness and asks how to teach children about complexity. Scott outlines a triadic framework of passion, innate ability, and systemic purpose.53:04–59:44 · Shane pushing back 1/10 Classroom Experiments in Collective Intelligence Shane pushes on how to teach concepts like power laws to young kids. Scott introduces the logic-structure-function framework and recounts an elaborate classroom simulation pitting physicists, Hayekian markets, and waggle-dancing bees.59:44–1:02:56 · Shane pushing back 1/10 Rush Hour Experiments: Codified Models vs. Tacit Knowledge Scott explains classroom experiments with the puzzle game Rush Hour to demonstrate codified vs tacit knowledge. Shane jumps in to share his personal experience using Rush Hour with his children based on Adam Robinson's advice.1:02:56–1:07:08 · Shane pushing back 1/10 Deep Dive: Power Law Distributions and Inequality Shane requests a deep dive into power law distributions. Scott contrasts power laws with bell curves, explaining preferential attachment, random walks, and self-organized criticality.1:07:09–1:10:35 · Shane pushing back 1/10 Deep Dive: Concavity, Convexity, and Linear Fallacies Shane asks for an explanation of concavity and convexity, admitting he mixed them up in college physics. Scott outlines diminishing versus increasing returns and cautions against naive linear forecasting in macroeconomics.1:10:36–1:16:01 · Shane pushing back 2/10 Deep Dive: Local Interaction Models and Organizational Culture Shane prompts a discussion on local interaction models. Scott illustrates coordination equilibria with humorous household habits like storing ketchup in the fridge before addressing organizational conformity.1:16:01–1:21:21 · Shane pushing back 1/10 Perspective Taking and the Pragmatic Limits of Inclusion Shane introduces Ender's Game to highlight perspective taking. Scott links this to corporate drug approvals and contrasts academic liberal arts perspective-taking with pragmatic model testing.

speaking balance: gold is Shane, purple is the guest (3 minute bins)

0:00 · Shane 52.9% · guest 47.1%0:00 · Shane 52.9% · guest 47.1%3:00 · Shane 3.8% · guest 96.2%3:00 · Shane 3.8% · guest 96.2%6:00 · Shane 5.4% · guest 94.6%6:00 · Shane 5.4% · guest 94.6%9:00 · Shane 0% · guest 100%9:00 · Shane 0% · guest 100%12:00 · Shane 18.5% · guest 81.5%12:00 · Shane 18.5% · guest 81.5%15:00 · Shane 0.8% · guest 99.2%15:00 · Shane 0.8% · guest 99.2%18:00 · Shane 20.9% · guest 79.1%18:00 · Shane 20.9% · guest 79.1%21:00 · Shane 8.7% · guest 91.3%21:00 · Shane 8.7% · guest 91.3%24:00 · Shane 3.9% · guest 96.1%24:00 · Shane 3.9% · guest 96.1%27:00 · Shane 0% · guest 100%27:00 · Shane 0% · guest 100%30:00 · Shane 1.6% · guest 98.4%30:00 · Shane 1.6% · guest 98.4%33:00 · Shane 22.6% · guest 77.4%33:00 · Shane 22.6% · guest 77.4%36:00 · Shane 6.3% · guest 93.7%36:00 · Shane 6.3% · guest 93.7%39:00 · Shane 27.5% · guest 72.5%39:00 · Shane 27.5% · guest 72.5%42:00 · Shane 1.2% · guest 98.8%42:00 · Shane 1.2% · guest 98.8%45:00 · Shane 36.1% · guest 63.9%45:00 · Shane 36.1% · guest 63.9%48:00 · Shane 0% · guest 100%48:00 · Shane 0% · guest 100%51:00 · Shane 62.1% · guest 37.9%51:00 · Shane 62.1% · guest 37.9%54:00 · Shane 0% · guest 100%54:00 · Shane 0% · guest 100%57:00 · Shane 0.3% · guest 99.7%57:00 · Shane 0.3% · guest 99.7%1:00:00 · Shane 31.6% · guest 68.4%1:00:00 · Shane 31.6% · guest 68.4%1:03:00 · Shane 4.4% · guest 95.6%1:03:00 · Shane 4.4% · guest 95.6%1:06:00 · Shane 14.4% · guest 85.6%1:06:00 · Shane 14.4% · guest 85.6%1:09:00 · Shane 3.5% · guest 96.5%1:09:00 · Shane 3.5% · guest 96.5%1:12:00 · Shane 0.9% · guest 99.1%1:12:00 · Shane 0.9% · guest 99.1%1:15:00 · Shane 39.1% · guest 60.9%1:15:00 · Shane 39.1% · guest 60.9%1:18:00 · Shane 0% · guest 100%1:18:00 · Shane 0% · guest 100%1:21:00 · Shane 67.2% · guest 32.8%1:21:00 · Shane 67.2% · guest 32.8%
Sharpest disagreement ▶ 38:00 Scott forcefully rejects the blind men and elephant analogy

Scott dismisses the common 'parts of the elephant' metaphor as almost exactly wrong, arguing that effective model thinking requires overlapping perspectives rather than isolated slices.

Hardest push from Shane ▶ 1:11:44 Shane humorously rejects Scott's indifferent ketchup premise

When Scott claims storing ketchup in the cupboard versus fridge does not matter, Shane interrupts and asserts that it does matter and belongs exclusively in the fridge.

Biggest teaching moment ▶ 42:35 Scott explains multi-dimensional competition via spatial and Colonel Blotto models

Scott provides an insightful breakdown showing why losing in multidimensional competition is often a matter of strategic positioning rather than inferior intrinsic capability.

Shane holds their own ▶ 1:01:48 Shane shares practical application of Rush Hour and incentives

Shane demonstrates domain expertise in cognitive development by citing Adam Robinson's curriculum and explaining his real-world incentive experiments with his children.

the scores for every segment, with the reasoning behind each
ChapterTopicShane as informed peerGuest teachingGuest disagreementShane pushing backWhy
Defining Mental Models and Collective Intelligence 3611 Shane sets the stage by asking Scott to define mental models. Scott provides a lecture on mapping reality to mathematical frameworks and his intellectual transition at the Santa Fe Institute toward collective intelligence.
Cognitive Diversity and the Wisdom Hierarchy 4611 Shane asks about cognitive diversity as diverse mental models. Scott details the wisdom hierarchy (data, information, knowledge, wisdom) and illustrates model selection with a story about Oracle's treasurer and Charlie Munger's latticework.
Wisdom of Crowds vs. Linear Statistical Models 5622 Shane seeks clarification on where mental models sit in the data-to-wisdom spectrum. Scott refines the idea by showing how models filter data and describes how human crowds beat linear regression models on non-standard variables.
Structuring The Model Thinker and Human Capital 5411 Shane posits that accumulating more models is valuable only when relevant to specific problems. Scott validates this and references Shane's past interview with Atul Gawande to discuss human capital toolboxes.
Frameworks for Model Selection and Contextual Nuance 3711 Shane asks how one decides which mental models to prioritize. Scott delivers an extensive structured guide on analyzing actors, rationality rules of thumb, and aggregation dynamics like Markov processes.
Surfacing Assumptions and Mechanism Design 4611 Shane asks whether models serve to surface hidden assumptions. Scott enthusiastically agrees, discussing mechanism design, Gell-Mann's quip on thinking electrons, and institutional choice across markets, hierarchies, democracies, and algorithms.
Rethinking Education, Specialization, and Model Toolboxes 4621 Shane questions why traditional schooling trains students on single-model frameworks. Scott explains the historical legacy of Platonic joints and rejects the common blind-men-and-the-elephant metaphor for mental models.
Spatial Models vs. Colonel Blotto Games 4711 Shane inquires about practical methods for indexing and selecting models during decisions. Scott contrasts spatial preference models with Colonel Blotto hedonic zero-sum games.
Educating Children for Complexity and the Logic-Structure-Function Lens 5511 Shane connects model thinking to evolutionary fitness and asks how to teach children about complexity. Scott outlines a triadic framework of passion, innate ability, and systemic purpose.
Classroom Experiments in Collective Intelligence 3711 Shane pushes on how to teach concepts like power laws to young kids. Scott introduces the logic-structure-function framework and recounts an elaborate classroom simulation pitting physicists, Hayekian markets, and waggle-dancing bees.
Rush Hour Experiments: Codified Models vs. Tacit Knowledge 5411 Scott explains classroom experiments with the puzzle game Rush Hour to demonstrate codified vs tacit knowledge. Shane jumps in to share his personal experience using Rush Hour with his children based on Adam Robinson's advice.
Deep Dive: Power Law Distributions and Inequality 3711 Shane requests a deep dive into power law distributions. Scott contrasts power laws with bell curves, explaining preferential attachment, random walks, and self-organized criticality.
Deep Dive: Concavity, Convexity, and Linear Fallacies 4611 Shane asks for an explanation of concavity and convexity, admitting he mixed them up in college physics. Scott outlines diminishing versus increasing returns and cautions against naive linear forecasting in macroeconomics.
Deep Dive: Local Interaction Models and Organizational Culture 4612 Shane prompts a discussion on local interaction models. Scott illustrates coordination equilibria with humorous household habits like storing ketchup in the fridge before addressing organizational conformity.
Perspective Taking and the Pragmatic Limits of Inclusion 5521 Shane introduces Ender's Game to highlight perspective taking. Scott links this to corporate drug approvals and contrasts academic liberal arts perspective-taking with pragmatic model testing.

Statements from this episode (17)

Insight
Scott Page: Making sense of complex systems requires ensembles of diverse models
“One way you can make sense of complexity is by throwing ensembles of models at both. So one of them may explain 20%, another 15%, and it's not that they add up to a hundred percent that they're explaining everything. In fact, if there's overlap, there's even s…”
Scott Page Apr 2, 2019 ▶ 5:16
Insight
Page: No single person can understand complex companies like Amazon
“There's so many dimensions to a company like Amazon or Disney, right, that there's no way any one person can understand it, and so what you want is you want cognitive diversity, and what that cognitive diversity means is people who have different, you know, li…”
Scott Page Apr 2, 2019 ▶ 9:02
Assertion Supported
Page: Linear models beat individuals, but groups often beat linear models
“What you find is the regression does a lot better than any one person because of the fact that The linear regression can include way, a lot more data. It doesn't suffer from biases, all sorts of stuff. But oftentimes when you have groups of people compete agai…”
Scott Page Apr 2, 2019 ▶ 15:28
Insight
Page: Rely on models when crowds agree, but investigate when predictions diverge
“What you should do instead is if the linear model and the people are close, you know, the prediction's You probably should go to the linear model because it's really well calibrated, right? It's probably gonna, you know, be better. But if they're far apart, if…”
Scott Page Apr 2, 2019 ▶ 17:17
Insight
Page: Repetition and high stakes push behavior toward rationality
“If it's repeated a lot, that should move you a little bit more towards the rational behavior, because people should learn. And if the stakes are huge, that should move you towards rational behavior.”
Scott Page Apr 2, 2019 ▶ 26:02
Insight
Page: Data-driven success formulas fail when adopted at scale
“And in this book, The Formula, he talks about how these are the lessons for success by looking at tons and tons of data. And it's in some of it is about some of the things we were talking about before with Gawande's. You want to like make sure you use your net…”
Scott Page Apr 2, 2019 ▶ 27:36
Insight
Page: Regressions only diagnose failures while models enable institutional design
“That's a question you can't touch, really, with, by running regressions necessarily, other than to identify the places where it's not working, right? But you can use models to help you kind of think through, what if we made this a market, right? What if we mad…”
Scott Page Apr 2, 2019 ▶ 35:03
Insight
Page: In multidimensional competition, there is no universally best profile
“One of the nice things that both those models sort of tell us is that there's kind of no best answer, because like you're going to win relative to how someone else is, so it's a strategy, it's more like a game, it's strategic, and there's no best thing you can…”
Scott Page Apr 2, 2019 ▶ 43:51
Insight
Page: Successful people wrongly assume they won purely due to individual ability
“People who are successful by definition have, are in, have always won and they're in power and they think I'm good because I'm here because I'm good. And they typically are. And they tend to think they're there because they've had a lot of ability. They have a…”
Scott Page Apr 2, 2019 ▶ 45:42
Insight
Parrish: Anticipating competitors' mental models is a core strategic advantage
“And your understanding of how other people are applying models is also going to be a key element of strategy in the future, right? So if we can anticipate that our competitors are following models that they learned in business school, well, now we know how the…”
Shane Parrish Apr 2, 2019 ▶ 52:39
Insight
Page: Decentralized market mechanisms fail on extremely complex problems
“But when it gets super hard, the market's not going to work.”
Scott Page Apr 2, 2019 ▶ 59:10
Assertion Contradicted
Scott Page: Firm and species lifespans both follow power-law distributions
“The lifespan of firms, some of them can be really short, but if you happen to get really big, you're going to last a long time. That should be a power law, and it is. It's also true that the lifespan of species phylogenera in ecology, you can think of that as …”
Scott Page Apr 2, 2019 ▶ 1:05:22
Insight
Scott Page: Big winners in positive-feedback markets depend as much on luck as skill
“If you thought, no, this person sold these books because they're just so much better, right? That's a very different story than if you say, no, just the natural process of people buying books leads to big winners. Then you start realizing, you know, the big wi…”
Scott Page Apr 2, 2019 ▶ 1:06:54
Prediction Open · timeframe Dec 2040
Scott Page: China's economic growth will slow without massive innovation
“The same is true of China, right? So if you do a linear projection of China, You know, five years ago, you'd have said, oh my gosh, you know, by 2040, China's economy is going to be just enormous, but the reality is growth's going to fall off, because what the…”
Scott Page Apr 2, 2019 ▶ 1:09:55
Insight
Page: Culture is a collection of solutions to local coordination games
“You can imagine, you're actually playing a whole series of local interaction models. And that collection of local interaction solutions you can think of as comprising a part of culture.”
Scott Page Apr 2, 2019 ▶ 1:12:21
Insight
Page: Organizational efficiency pressures erode cognitive diversity in mental models
“When I go work for a firm, or if I'm working in an organization, you know, stock analyst, psychologist, whatever I'm doing, mental models that we use are like local interaction models. Right? I mean, like, it's like, oh, you're using that metal model. It's eas…”
Scott Page Apr 2, 2019 ▶ 1:15:01
Insight
Page: Decision-makers should only include mental models that tangibly improve performance
“No, you don't want to, so there's limits of inclusion, right? I mean, in the sense that, like, you only want to be inclusive to things that are actually going to help you to do whatever it is you're trying to do.”
Scott Page Apr 2, 2019 ▶ 1:21:10
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