gwern comments on Checklist of Rationality Habits - Less Wrong

117 Post author: AnnaSalamon 07 November 2012 09:19PM

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Comment author: gwern 20 November 2012 11:05:53PM 0 points [-]

The fact that we think of utilities as cardinal numbers doesn't mean we assign any meaning to ratios of utilities.

Kindly says the ratios do have relevance to considering bets or risks.

But it seemed that you were trying to say that a person with a logarithmic utility function assesses $10^9 as having twice the utility of $50k.

Yes, I think I see my error now, but I think the force of the numbers is clear: log utility in money may be more extreme than most people would intuitively expect.