Daniel Kahneman is an Israeli-American psychologist widely recognized for his work in the fields of cognitive psychology and behavioral economics. He is best known for his groundbreaking research on decision-making, judgment, and the psychology of happiness. Kahneman developed the concept of “prospect theory,” which describes how people evaluate potential losses and gains during decision-making under uncertainty. This theory has significant implications for economics and finance, as it challenges the traditional notion of rational choice in economic theory.
Kahneman’s work emphasizes the impact of psychological factors on human behavior and how cognitive biases can influence the decisions individuals make. In his book “Thinking, Fast and Slow,” he delineates two systems of thinking: the fast, intuitive, and emotional system (System 1) and the slower, more deliberative, and logical system (System 2). Kahneman’s contributions to psychology and economics were recognized with the Nobel Prize in Economic Sciences in 2002, making him one of the leading figures in understanding the interplay between human psychology and economic behavior.
Daniel Kahneman, Nobel laureate and pioneer in behavioral economics, passed away at 90, choosing assisted dying in Switzerland. Kahneman's seminal work, "Thinking, Fast and Slow," and his "Prospect Theory" reshaped…