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Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan Santa Fe Institute

Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Page 1: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

A Logic of Diversity

Scott E Page

Complex Systems, Political Science, Economics and

Institute for Social Research

University of MichiganSanta Fe Institute

Page 2: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

The dim boy claps because the others clap.

- Richard Hugo

Page 3: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

A Logic of Diversity

I am going to replace abstract concepts, metaphors, and mantras with formal frameworks to produce a logic of individual diversity and its aggregative implications.

Page 4: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Lu Hong: Mathematics of Diversity

Jenna Bednar: Cultural Diversity and Institutional Path Dependence

Co-Authors

Page 5: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

The Diversity Mantra

Identity

Diversity

Diverse

Perspectives

Page 6: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Extending The Mantra

Identity

Diversity

Diverse

Perspectives

Better

Outcomes

Page 7: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Enlarging The Mantra

Identity

Diversity

Diverse

Perspectives

Better

Outcomes

Page 8: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

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IdentityQuickTime™ and a

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Page 9: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

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TrainingQuickTime™ and a

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Page 10: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

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ExperientialQuickTime™ and a

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Page 11: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Enlarging The Mantra

Identity,

Training,

Experiential

Diversity

Diverse

Perspectives

Better

Outcomes

Page 12: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Today’s Talk: Unpacking The First Box

Diverse

Perspectives

Page 13: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Wednesday’s Talk: Demonstrating Causality

Diverse

Perspectives

Better

Outcomes

Page 14: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Today’s Talk

Describing the differences inside of our heads - cognitive differences.

Page 15: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Brief Intermission

Link to training (calculus, physics, etc..) obvious.

Link to experience (we reason based on past cases) also clear

But what of identity and culture?

Page 16: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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A Most Important Question

Page 17: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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A Most Important Question

Where do you keep your ketchup?

Fridge?Cupboard?

Page 18: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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The Follow-up Questions

Shoes on or off in your house?Cross street when the red hand is

flashing but no cars are present?Read newspaper at breakfast table?When you greet friends do you hug?

Page 19: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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The Diversity Mantra

Identity

Diversity

Diverse

Perspectives

Page 20: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Diverse Perspectives?

PerspectivesHeuristics

InterpretationsMental Models

Page 21: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Perspectives

A perspective is a representation of the set of possible solutions.

Page 22: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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The Value of PerspectivesMost great breakthroughs in science

result from new perspectives.

Newton: Planetary MotionMendeleyev: Periodic Table

Page 23: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Diverse Perspectives

Cartesian Polar

(x,y)

(r

Page 24: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Ben and Jerry

chunk size

number of chunks

y

x

z

Page 25: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Consultant 1

caloric rank

zx y

Page 26: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Consultant 2

masticity

z x y

Page 27: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Rugged Landscapes

Page 28: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Perspectives and Difficulty

A perspective creates a landscape where the elevation of each solution equals its value. The better the perspective, the less rugged the landscape.

Page 29: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Mt Fuji Landscape

Page 30: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Caloric Landscape

Page 31: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Chew Time Landscape

Page 32: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Value of Consultants

Page 33: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Perspectives in Strategic Contexts

A perspective can also simplify a strategic context. What was hard can become easy.

Page 34: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Sum to Fifteen – Herb Simon

Setup: Cards numbered 1-9 face up on table

Play: Players alternate selecting cards

Object: To hold exactly three cards that add up to fifteen

Page 35: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

4/29/98 Page-De Marchi Match

D: 7P: 6D: 5 (12)P: 3 (9)D: 1 (6,8,12)P: 9 (12,9,15)

De Marchi offers Draw!!

Page 36: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

7th Grade Algebra

A Magic Square

8 3 4 1 5 9 6 7 2

Page 37: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Page-De Marchi Again

_ _ _ _ _ _

_ X _

Page 38: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Page-De Marchi Again

_ _ _ _ _ _

0 X _

Page 39: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Page-De Marchi Again

_ _ _ _ X _

0 X _

Page 40: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Page-De Marchi Again

_ 0 _ _ X _

0 X _

Page 41: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Page-De Marchi Again

_ 0 _ X X _

0 X _

Page 42: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Page-De Marchi Again

_ 0 _ X X 0

0 X _

Page 43: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

An Equivalence

It can be shown that tic tac toe on the magic square is equivalent to sum to fifteen.

In one perspective the game is hard. In the other perspective, the game is easy.

Page 44: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

What Is Hard Can Be Easy

Theorem: For any problem there exists a representation such that the problem of finding an optimal solution is easy.

Page 45: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Water Flow Problem

Three valves (x,y,z): open = 1, closed = 0

Flow: x + y + z - 2xy - 2yz - 2xz + 4xyz

Page 46: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Walsh Functions

Walsh Function #3 W(x,y,z) = 0 if #1’s is evenW(x,y,z) = 1 if #1’s is odd

W(x,y,z) = x + y + z - 2xy - 2yz - 2xz + 4xyz

Page 47: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

CautionDiverse perspectives create more adjacencies,

and therefore more solutions. Those additional solutions include better solutions only if the perspectives are appropriate to the problem.

More need not imply more better.

Page 48: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Heuristics

Heuristics are techniques that we use for finding solutions. They can take many forms

- simulated annealing algorithms

- rule of 72

- do the opposite

Page 49: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Heuristic Example

Fill in the blank

• 1 2 3 5 _ 13

Page 50: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Answer

1 2 3 5 8 13

Page 51: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Heuristic

1 2 3 5 8 13– xi+2- xi+1 =xi

Page 52: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Next Question

1 4 _ 16 25 36

Page 53: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Answer

1 4 9 16 25 36

Page 54: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Heuristic

1 4 9 16 25 36– xi

2

Page 55: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Last One!

1 2 6 _ 1806

Page 56: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Answer

1 2 6 42 1806

Page 57: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Heuristic

1 2 6 42 1806– xi+1 – xi = xi

2

– 6 – 2 = 22

– 42 – 6 = 62

– 1806 – 42 = 422

Page 58: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Combining Heuristics

1 2 6 42 1806

– xi+1 – xi = xi 2

This is a combination of the first two heuristics

Page 59: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

One plus one equals THREE

By knowing two heuristics, you know three heuristics: The two individual heuristic plus the combined heuristic.

Page 60: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Interpretations

Reality consists of many variables or attributes. People cannot include them all. Therefore, we either- consider only some attributes - lump things together

Page 61: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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“Lump to Live”

If we did not lump various experiences, situations, and events into categories, we could not draw inferences, make generalities, or construct mental models.

Page 62: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Real Life Examples

“Kerry is a liberal”Soccer moms and NASCAR DadsPrice Earnings RatiosAutismModern ArtSKA

Page 63: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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An Example

• Students and advisors can have one of four personality types:– Obsessive– Curious– Ambitious– Rule Following

• Outcome function F maps each pair into an outcome which is either good or bad.

Page 64: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

The Outcome Function

G G

G

G

G

G

G

B

B

B

BB

B B B

O C A R

O

C

A

R

student

advisorG

Page 65: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Advisor Type Interpretation

G G

G

G

G

G

G

B

B

B

BB

B B B

O

C

A

R

advisor G

prediction

G

G

B

B

Page 66: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Student Type Interpretation

G G

G

G

G

G

G

B

B

B

BB

B B B

G

O C A Rstudent

predictionG G B B

Page 67: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Making Horse RacesThis is why we differ on our

predictions of what will happen with stock prices, who will win sporting events, and who is a likely terrorist -- we look at the world differently.

Page 68: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Miles DavisExperts parse the world more finely

than the rest of.

Page 69: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Chicago El 1992

red line max 70K riders blue line max 80K riders

Page 70: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Chicago El 1992

red line max 70K riders blue line max 80K riders

40K

70K

80K

30K

Page 71: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Chicago El 1992

red line max 70K riders blue line max 80K riders

40K

70K

80K

30K

Page 72: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Chicago El 1992

yellow line max 40K riders purple line max 80K riders

70K

80K

30K

40K

Page 73: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Toolboxes vs Measuring Sticks

We can think of a person’s ability as her collection of tools -- her perspectives, her heuristics, and her mental models -- and not as an IQ score.

Page 74: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

More Toolbox Combinatorics

With one hundred tools, the number of collections of ten tools equals

17,310,309,456,440

Compare this to the number of I.Q.s!

Page 75: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Toolboxes and IQs

Suppose 50 possible toolsSarah knows 20 Frank knows 12

What are odds that Sarah knows all that Frank knows?

Page 76: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

Toolboxes and IQs

Suppose 50 possible toolsSarah knows 20 Frank knows 12

What are odds that Sarah knows all that Frank knows? About 4 in a billion

Page 77: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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An Implicit Cheat

I assumed that any tool can be acquired. (“I think I’ll learn string theory.”) That may not be true. It could be that tools have an ordering - to learn one tool you must first learn another.

Page 78: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Ladder Model

Suppose the tools are arranged in a ladder, so that to learn tool nine you must first learn tools 1-8.

Sarah now knows tools 1-20 Frank now knows tools 1-15

Sarah is “smarter” than Frank.

Page 79: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Many Ladders Model

Probability# of Ladders Sarah > Frank

1 100%2 29%3 9%4 1%5 0.005%

Page 80: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

Michigania 02005

A Puzzle

Why do people in the humanities and the arts believe in the value of diversity and why do people in the sciences not?

Page 81: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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We Believe What We Know

Discipline # of Ladders Math Very Few Physics Very Few Economics Few

Political Science Several Literature Many

Page 82: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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Summary

- We don’t apply our IQ directly- We apply tools

- Perspectives, heuristics, interpretations, mental models

- Tools are superadditive (42)- Cannot universally compare

intelligences- Can compare domain specific

intelligence

Page 83: Michigania 02005 A Logic of Diversity Scott E Page Complex Systems, Political Science, Economics and Institute for Social Research University of Michigan

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What’s Next

- Individual diversity influences collective performance.

- Explain``Wisdom of Crowds”- See that diversity and ability merit

equal standing