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AndyC comments on What Is Signaling, Really? - Less Wrong
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Using the term over-simplified was my attempt at generosity. As presently stated, your claim is entirely wrong. Intelligence is the single best predictor of job performance for all but the most narrowly-focused manual tasks, see for example Ree & Earles, Current Directions in Psychological Science vol. 1, No. 3 (Jun., 1992), pp. 86-89.
The strong claim you made in your original comment was entirely false, and I get the impression you were just speculating wildly about something you don't actually know much about.
It's important to note that employers are not seeking to maximize employee performance. They're seeking to maximize the difference between the value provided by the employee and the wage provided to the employee.