Apr 17, 2015
Michael Covel speaks with Colin Camerer on today’s podcast. Camerer is an American behavioral economist and a Robert Kirby Professor of Behavioral Finance and Economics at the California Institute of Technology (Caltech). Camerer's research is on the interface between cognitive psychology and economics. This work seeks a better understanding of the psychological and neurobiological basis of decision-making in order to determine the validity of models of human economic behavior. His research uses mostly economics experiments—and occasionally field studies—to understand how people behave when making decisions (e.g., risky gambles for money), in games, and in markets (e.g., speculative price bubbles). Covel and Camerer discuss why Camerer was called a child prodigy, and how he looks at that term in the context of nurture vs. nature; synthesizing behavioral economics and neuroscience; understanding Camerer’s studies when traders aren’t looking at the market on a day-to-day basis; how we can stimulate the brain to create a bubble; the ethical issues surrounding Camerer’s work; machine learning and data mining; neuroscience and game theory; comparing humans and chimps in the study of neuroscience; how trust correlates with economic growth; and how emotion functions in the modern world. Want a free trend following DVD? Go to trendfollowing.com/win.