![EconTalk at GMU artwork](https://is3-ssl.mzstatic.com/image/thumb/Podcasts6/v4/5f/32/72/5f327231-d8ce-cd6e-87d9-999d9952b6dd/mza_2798388920989657971.jpg/100x100bb.jpg)
Taleb on Skin in the Game
EconTalk at GMU
English - September 09, 2013 11:30 - 1 hour - 28.8 MB - ★★★★ - 11 ratingsCourses Education Science Social Sciences Homepage Download Apple Podcasts Google Podcasts Overcast Castro Pocket Casts RSS feed
Previous Episode: Capitalism, Government, and the Good Society
Next Episode: David Laidler on Money
Nassim Taleb of NYU-Poly talks with EconTalk host Russ Roberts about his recent paper (with Constantine Sandis) on the morality and effectiveness of "skin in the game." When decision makers have skin in the game--when they share in the costs and benefits of their decisions that might affect others--they are more likely to make prudent decisions than in cases where decision-makers can impose costs on others. Taleb sees skin in the game as not just a useful policy concept but a moral imperative. The conversation closes with some observations on the power of expected value for evaluating predictions along with Taleb's thoughts on economists who rarely have skin in the game when they make forecasts or take policy positions.