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2020


Mass Hysteria

·5 mins
We’re living in some interesting times, and I’ve been wondering how psychology plays into the current doomsday phenomenon. It’s fun to study history about previous events related to mass panic and hysteria. Understanding Mass Hysteria # Mass hysteria, also called collective obsessional behavior, occurs when large groups of people experience similar physical or psychological symptoms that spread rapidly through social suggestion. These events often emerge during times of social stress or uncertainty, which might explain why they’ve appeared throughout human history.

2019


Dopamine

·6 mins
Dopamine is a chemical in our brains associated with good feelings and reward. Jonathan Haidt discusses this connection in his book “The Righteous Mind: Why Good People Are Divided by Politics and Religion”, drawing on pages 102-103: All animal brains are designed to create flashes of pleasure when the animal does something important for its survival, and small pulses of the neurotransmitter dopamine in the ventral striatum (and a few other places) are where these good feelings are manufactured. Heroin and cocaine are addictive because they artificially trigger this dopamine response. Rats who can press a button to deliver electrical stimulation to their reward centers will continue pressing until they collapse from starvation.

Skin in the Game Startups

·6 mins
I don’t like making predictions, but one prediction I do have is that many future big companies will be what I call “skin in the game startups” (you heard it here first). Having skin in the game simply refers to sharing risk and rewards with a counterparty. In startupland, angel investors have skin in the game: they give money to founders to help them start a business in exchange for equity with the hope that the business will become more valuable in the future. The investor is sharing the risk of the company (by outlaying their money), and if the company does well the investor will eventually reap grand returns.