In response to the folk suggesting that our questions were just unclear, etc.:
I notice rationalization all the time too (in myself and in others); but there totally seem to be people who don't ever notice it in themselves. Lots of them. Including both folks who seem never to have trained in rationality-type-stuff at all, and folks who have. I ignored my first counter-example, and my second, but not my third and forth; especially after the fourth counter-example kindly allowed us to cross-examine them for some hours, to go try accosting strangers with weird questions and see if they noticed themself rationalizing while approaching said strangers, etc.
Mercurial, and Eliezer, both suggested an analogy to the "thinking in words" vs "thinking in images" thing; some do one and others do another, and many tend to assume that everyone must experience life that way. We all updated toward thinking that there is some actual thing going on here -- something we were initially not modeling.
But, I'm still confused about:
Conflating irrationality with "self deception" here. But you seem to be defining rationality as "utility function" here. How is some idealized idea of "utility function" any different from just "preferences".
Anna Salamon and I are confused. Both of us notice ourselves rationalizing on pretty much a daily basis and have to apply techniques like the Litany of Tarski pretty regularly. But in several of our test sessions for teaching rationality, a handful of people report never rationalizing and seem to have little clue what Tarski is for. They don't relate to any examples we give, whether fictitious or actual personal examples from our lives. Some of these people show signs of being rather high-level rationalists overall, although some don't.