Key Moments
Tyler Cowen on Rationality, COVID-19, Talismans, and Life on the Margins | The Tim Ferriss Show
Tim FerrissKey Moments
Tyler Cowen discusses economics, rationality, learning from criticism, and his diverse projects.
Key Insights
Economics as a tool for philosophical thinking, not just teaching.
Meta-rationality is crucial for deferring to experts and understanding one's own knowledge limits.
Consistent daily practice, like a musician's scales, is vital for skill development.
Learning from those who offend you, even critics like Paul Krugman, offers valuable insights.
The internet and globalization expose societal flaws, leading to disillusionment and discontent.
Emergent Ventures aims to streamline philanthropy by reducing bureaucracy and embracing risk.
THE UTILITY OF ECONOMICS AND META-RATIONALITY
Tyler Cowen views economics not as a rigid discipline but as a "funny kind of philosophy" using the economy as its subject. He emphasizes that true understanding requires broad learning, travel, and a degree of 'crazy.' Core economic insights, like incentives, are useful but incomplete without anthropological understanding of how people perceive and communicate information. Meta-rationality, the ability to accurately assess one's own knowledge and know when to defer to experts, is a rare and critical skill. This concept, honed through activities like playing chess for money, teaches self-honesty about performance and the objective assessment of one's abilities.
NAVIGATING INFORMATION AND CULTIVATING DETACHMENT
In navigating complex situations like pandemics, Cowen stresses the high returns of building curated information feeds, particularly on Twitter. He advocates for using Twitter as a truth-generating mechanism by searching widely and ignoring noise. Cultivating meta-rationality during duress involves a delicate balance of information processing and detachment. A degree of 'obliviousness' or self-absorption in one's personal routines can provide a necessary buffer against emotional over-involvement, allowing for clearer judgment amidst panic or strong emotions.
THE POWER OF CONSISTENT PRACTICE AND DIVERSE INPUTS
Cowen likens rigorous skill development to a pianist practicing scales, advocating for such intense, daily practice in all fields. For him, this includes writing extensively, exploring different viewpoints, listening to complex music like Indian classical or atonal compositions, and reading serious fiction. He emphasizes the importance of reading widely and pursuing what one loves, recommending works like Harold Bloom's 'The Western Canon' as a starting point for exploring complex literature. This continuous engagement keeps the mind active and open to complexity.
CHALLENGING COMPLACENCY AND EMBRACING CHANGE
Cowen critiques the modern trend towards a "complacent class," characterized by reduced innovation outside tech, slower income growth, and less mobility. He argues that excessive risk aversion, particularly in child-rearing and societal planning, leads to stagnation. To counteract this, he suggests embracing change, even through what psychologist Steve Levitt termed 'coin-flip' decisions, as people were demonstrably happier after making significant changes than remaining static. This involves taking calculated risks and stepping outside of comfort zones.
EMERGENT VENTURES AND UNCONVENTIONAL PHILANTHROPY
Through his initiative, Emergent Ventures, Cowen aims to reform philanthropy by creating a less bureaucratic, more risk-tolerant model. Inspired by historical patronage, the program bypasses credentials and panels, focusing on direct assessment of individuals with big ideas. This approach seeks to identify and support unconventional entrepreneurs and thinkers, fostering innovation and societal improvement without the typical regulatory hurdles. Cowen believes many philanthropic sectors are too risk-averse and overly reliant on measurement, hindering true impact.
UNDERSTANDING GLOBAL DISCONTENT AND PERSONAL GROWTH
Cowen observes a rising global discontent, even in seemingly stable regions like Chile, attributing it to increased awareness of flaws through the internet, disillusionment with political systems, and economic shifts leading to stagnant or declining wages. He views this as a complex puzzle, one he engages with by writing, speaking, and traveling to understand diverse perspectives. Personally, he has focused on exercise, eating smaller portions, and striving for kindness, viewing these not as talismans but as practices that contribute to a more engaged and productive life, despite his naturally even-keeled temperament.
Mentioned in This Episode
●Products
●Software & Apps
●Companies
●Organizations
●Books
●Concepts
●People Referenced
Common Questions
Meta rationality is understanding one's own level of intellect and information on a topic, knowing when to defer to experts, and being suspicious of stories that feed into chosen moods. It can be cultivated by being plugged in but also detached, building truth-generating social media feeds, and being critical of one's own narrative. Engaging with diverse groups of people, especially those from different socioeconomic backgrounds, can also help.
Topics
Mentioned in this video
A world-class tennis player whose career and practice regime Tyler Cowen studied for his podcast.
Considered by Tyler Cowen to be the greatest writer, and a recommended author for those seeking complex literature.
An analyst whose hypothesis suggests that the internet makes everyone's flaws more visible, leading to disillusionment with politicians and thinkers.
A legendary basketball player whom Tyler Cowen interviewed, fulfilling a childhood dream.
Professor at George Mason University, author, Bloomberg columnist, host of the 'Conversations with Tyler' podcast, and co-creator of Marginal Revolution University.
An atonal music composer whose complex works Tyler Cowen appreciates.
A French philosopher, recommended by Tyler Cowen as a writer to read periodically to avoid taking rules too seriously.
One of the two party leaders mentioned in 2020 by Tyler Cowen in the context of it being unclear what constitutes a 'controversial view'.
A Renaissance humanist and theologian, recommended by Tyler Cowen as a writer to read periodically to avoid taking rules too seriously.
One of the two party leaders mentioned in 2020 by Tyler Cowen in the context of it being unclear what constitutes a 'controversial view'.
A favorite writer of Tim Ferriss and a guest on Tyler Cowen's podcast, known for his incredibly long and complex books.
A play by Shakespeare, mentioned as an example of his great works.
An author cited by Tyler Cowen as an example of talent that, if supported early, would negate the need for later measurement of success in philanthropy.
A venture capitalist and author, quoted by Tyler Cowen for his idea of embodying opposites within oneself.
An American literary critic, whose book 'The Western Canon' is recommended by Tyler Cowen for re-entry into complex fiction.
Author of 'The Decameron,' a work related to the Black Death, which Tyler Cowen considered in preparation for Emily St. John Mandel's pandemic novel.
A British musician and producer whom Tyler Cowen wishes to interview for his podcast.
A legendary basketball player, whose extreme practice ethic is cited as an example of sustained improvement.
Author of 'Station Eleven' and other novels, whom Tyler Cowen prepared extensively to interview. She also tweeted about coronavirus and her book's increased sales.
An underrated thinker whose work and worldview Tyler Cowen examined on his podcast.
A mutual friend/fan of Tim Ferriss and Tyler Cowen's work, mentioned in the context of Stoic philosophy.
A public health reporter from Toronto, recommended by Tyler Cowen as a reliable follow on Twitter for information on coronavirus.
Nobel Prize-winning economist from whom Tyler Cowen admits to learning, even when Krugman expresses views that offend Cowen.
Economist known for 'Freakonomics,' who conducted a study where major life changes determined by a coin flip led to increased happiness, cited by Tyler Cowen to encourage risk-taking.
An expert on prediction and superforecasters, who Tyler Cowen plans to interview for his podcast, requiring him to focus on these topics.
The screenwriter of 'The Princess Bride,' called a 'genius screenwriter' by Tim Ferriss.
Classical composer whose late string quartets are recommended by Tyler Cowen for keeping the mind active.
Irish novelist, whose 'Ulysses' is recommended by Tyler Cowen as a writer to read periodically to avoid taking rules too seriously.
Author of 'The Andromeda Strain,' a novel about a pandemic, which Tyler Cowen reviewed as part of his preparation for Emily St. John Mandel.
Co-founder of Stripe, noted for being a voracious reader, similar to Tyler Cowen.
Classical composer whose 'Art of the Fugue' is recommended by Tyler Cowen for keeping the mind active.
Translator of Homer's Odyssey, whose interview required extensive preparation from Tyler Cowen.
An actor Tyler Cowen is trying to get as a podcast guest.
A director whose movies Tim Ferriss loves, especially 'Spirited Away'.
A director whose movies as a whole are Tyler Cowen's favorite part of cinema.
The podcast hosted by Tim Ferriss, dedicated to deconstructing world-class performers and teasing out their habits, routines, and thinking processes.
A Spanish-language news program on Univision that Tyler Cowen watches sometimes.
Music genre that Tyler Cowen finds phenomenal and underrated, forcing a 'complexity mindset' and potentially linked to Indian tech preeminence.
A podcast Tim Ferriss listens to for similar reasons to Tyler's Spanish TV viewing, for language acquisition and cultural context.
An Ingmar Bergman film, Tyler Cowen's all-time favorite of his.
A movie Tim Ferriss got hooked on a long time ago and still enjoys.
An exceptional James Bond film, according to Tim Ferriss.
A favorite movie of Tyler Cowen.
A movie Tim Ferriss got hooked on a long time ago and still enjoys.
A movie Tim Ferriss loves and has watched hundreds of times while writing.
A film Tim Ferriss loves.
One of Tim Ferriss's absolute all-time favorite Miyazaki movies, noted for its metaphor and beautiful transformation.
A free online economics education platform co-created by Tyler Cowen that has reached millions of people.
The university where Tyler Cowen is a professor.
An online encyclopedia, used as an analogy for the data structure created by Dartmouth researchers for Indian villages.
A university where researchers created a Wikipedia-like structure for Indian village data, supported by Emergent Ventures.
A newspaper for which Tyler Cowen wrote an article in 2013 about pandemics and research.
A Spanish-language television network where Primer Impacto is broadcast.
A philosophy mentioned in the context of alleviating anxiety and serving as a 'talisman' for some, with both placebo and practical benefits.
A $5 million fund founded by Tyler Cowen to support entrepreneurs with big ideas to improve society, operating with minimal bureaucracy.
A country suggested by Tyler Cowen as an alternative travel destination for Manhattanites to gain a less filtered perspective of the world.
A country where Tyler Cowen observed significant political demonstrations despite declining income inequality, leading him to change his mind about global political stability.
A collaborative document platform Tyler Cowen has been trying, but finds 'disorienting' due to its perceived lack of permanence.
A blogging platform used by Tyler Cowen for writing blog posts, influencing his writing style differently than a Word document.
A daily economics blog co-created by Tyler Cowen, known as one of the most widely read economics blogs in the world.
Tyler Cowen's popular podcast where he examines the work and worldviews of underrated thinkers.
Word processing software used by Tyler Cowen for writing books and columns.
A city mentioned as a source of Spanish-language news, essentially from Latin America.
A country whose villages are being cataloged with demographic data by Dartmouth researchers, potentially improving public health and policy making.
A long-distance hiking trail in the eastern United States, mentioned by Tim Ferriss as an alternative path for pilgrimage-like experiences.
A U.S. state suggested by Tyler Cowen as an alternative travel destination for Manhattanites to gain a less filtered perspective of the world.
Tyler Cowen suggests Manhattanites often have a filtered view of the world and should travel to other places, including other boroughs like Staten Island, to broaden their perspective.
Mentioned as a country whose economic success is observed by other nations, but whose autocratic system is not necessarily desired.
A borough of New York City, suggested by Tyler Cowen as an alternative travel destination for Manhattanites to gain a less filtered perspective of the world.
A city in India, mentioned by Tyler Cowen in the context of someone growing up in its slums.
Mentioned as a country experiencing stagnation within what Tyler Cowen considers the best system of Western liberal capitalist democracy, also criticized for its handling of the coronavirus outbreak.
A region from which Tyler Cowen would watch Spanish-language news to gain a different worldview.
Referred to as a 'bubble,' but Tyler Cowen notes that people there are aware of their special place, unlike some Manhattanites. Also a common destination for Emergent Ventures travel grants.
A country where a fellow, supported by Emergent Ventures, is starting a charter city with local Zambians.
A pilgrimage destination in Spain that Tyler Cowen's daughter walked, and they had a fantastic time appreciating its social resonance.
A media company where Tyler Cowen is a regular columnist.
A social media platform that Tyler Cowen uses as a 'truth generating mechanism' and recommends for building curated feeds on specific topics like coronavirus.
A messaging app through which Tyler Cowen receives information from contacts, influencing his meta-rational judgment.
A company co-founded by Patrick Collison.
A strategy Tyler Cowen warns against, where one dismisses feedback from critics by focusing on their flaws rather than learning from them.
An initiative supported by Emergent Ventures, where a fellow is starting a charter city in Zambia with Zambians.
Tyler Cowen considers anthropology a more fundamental way of thinking about humans, with economics being parasitic on it.
A practice Tim Ferriss uses to restore focus and improve alertness, noting its physiological and possible placebo effects.
The ability to understand one's own level of smartness or information in a given topic, and to defer to experts when appropriate. Tyler believes it is very hard for people to achieve.
Tyler Cowen's view that some version of this system is the best, despite global disillusionment.
A therapeutic approach compared to the practical benefits derived from practicing Stoic principles.
Discussed in relation to cold exposure and the Stoics, where feeling that one is doing something to address a problem can itself lead to improvement.
A pilgrimage trail in Japan that Tim Ferriss has walked a small portion of and is interested in for extended walking with minimal possessions.
The opposite of the placebo effect, where negative expectations can lead to negative outcomes mentioned briefly by Tim Ferriss.
A favorite movie of Tim Ferriss, calling William Goldman a 'genius screenwriter'.
One of Tyler Cowen's books, where he argues that American society has become stagnant and cautious, innovating less outside of tech, experiencing slower income growth, and becoming less dynamic.
A novel by Neil Stephenson, mentioned by Tim Ferriss.
Homer's epic poem, which Tyler Cowen studied thoroughly for an interview with its translator, Emily Wilson.
A book by Harold Bloom, recommended by Tyler Cowen to listeners who want to get back into reading complex fiction.
One of Tim Ferriss's books, mentioned by Tyler Cowen in the context of Tim's ability to draw out information from diverse people.
A novel by Neil Stephenson, mentioned by Tim Ferriss.
A novel by James Joyce, recommended by Tyler Cowen as a book to read periodically to avoid taking rules too seriously.
A novel by Neil Stephenson that Tyler Cowen found difficult to read despite its potential brilliance.
A novel by Emily St. John Mandel about a pandemic, which Tyler Cowen read and prepared to discuss for his podcast interview with her.
A novel by Michael Crichton about a pandemic, which Tyler Cowen reread to prepare for an interview.
A book Tyler Cowen, though not religious, recommends non-religious friends read as it is 'wonderfully deep and brilliant'.
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