DECISIONSADVANCED

Spatial Choice & Aggregation

Rational individuals aggregate into irrational crowds — location and order matter.

outlier pulls line
best-fit line ≠ cause · recreated schematic

How it works

  • Voters, shoppers, firms pick the nearest palatable option.
  • Individual rationality aggregates into cycles and paradoxes.
  • Agenda order and geography pick winners as much as merit.
Use → Voting, siting, assortment. Aggregate rules, not vibes.
Watch out → Assuming transitive crowds from transitive individuals.
Try it → Reorder any committee vote and watch the winner wobble.
REDCAPE jobs → Reason · Predict
Free sources → Coursera M2 (Preference Aggregation)
◍ Mentor soonSee REDCAPE playbook →

Attach to a lattice — combines with

Different families, shared jobs. Disagreement between them is where insight lives.

LINEAR & NONLINEAR
Categorical & Threshold Models
Buckets and cutoffs turn messy attributes into testable if-then rules.
SHARED JOBS: REASON · PREDICT
DISTRIBUTIONS
Normal Distribution
Bell-curve averaging: many small independent effects sum to a predictable center with thin tails.
SHARED JOBS: REASON · PREDICT
DYNAMICS
Random Walk & Markets
Unpredictable steps accumulate; efficient markets leave mostly randomness behind.
SHARED JOBS: REASON · PREDICT

More in Decisions

Decision Trees + Value of Information
Fold back probabilities; pay for information only if it changes the action.
← Decision Trees + Value of InformationNormal Distribution →