Confessions of a researchaholic

July 22, 2009

The randomness in life

Filed under: Real — liyiwei @ 10:43 am
Tags: , , ,

The Drunkard’s Walk: How Randomness Rules Our Lives
by Leonard Mlodinow

Fooled by Randomness: The Hidden Role of Chance in Life and in the Markets
by Nassim Nicholas Taleb

Thanks to the advances of probability theory and quantum physics, most people today would have no problem accepting the fact that the physical world we inhabit is subject to randomness and the future cannot be predicted deterministically. However, we tend to associate this randomness with the microscopic atomic world and under-estimate the role randomness plays in our macroscopic daily lives. In a nutshell, due to evolutionary reasons, human minds tend to rationalize events that are random, often trying to find patterns, rules, or causalities that really do not exist.

Two books render this point excellently; one by Taleb that I read a while ago, and another by Mlodinow that I just finished yesterday.

Mlodinow is a scientist turned writer, and thus his book is written in a popular science fashion, with plain English descriptions (no single equation is shown in the book) of the basic probability and statistical theories, their historical progressions, and anecdotes of peoples involved in their discoveries. Based on these scientific expositions, Mlodinow ventured into a few more philosophical suggestions, such as that life is more random than we intuit and thus we should not interpret too much rules or causalities, as well as the suggestion that the best strategy to overcome this randomness is the law of large numbers, i.e. keep trying and never give up easily.

Overall, this is a highly entertaining book, and I particularly enjoy the anecdotes of these scientists and mathematicians involved in the evolution of the probability and statistical theories. (It appears that their lives and discoveries are also subject to randomness.) I also concur with the moral lessons that Mlodinow suggested (anyone with enough experience in scientific publications, or more precisely, rejections, ought to be able to appreciate the meaning of the law of large numbers).

Taleb, on the other hand, is a philosopher turned trader (or the other way around; I cannot really tell). Thus, even though sharing a similar central theme with the book by Mlodinow, the one by Taleb is filled with stories and observations he made from his trading desk (or pit) interspersed with either philosophical statements or scientific statements made by a philosopher. The book is also highly entertaining but in a way different from Mlodinow’s; it is more sarcastic (in a good way) and the anecdotes are about the financial rather than the scientific world.

I highly recommend both books, and suggest reading them in succession for extra fun. (I read Taleb’s book so long ago that my memory for it already fades when writing this article.)

1 Comment »

  1. i did enjoy mlodinow’s book too, and that of taleb who wrote the black swan as well. this is black swan is now the economic event that is playing out and is now known as the subprime have a huge reading list. from the philippines , i say, mabuhay

    Comment by Hipolito U. Gagni — September 24, 2009 @ 9:18 pm | Reply

RSS feed for comments on this post. TrackBack URI

Leave a Reply

Your email address will not be published. Required fields are marked *


Theme: Rubric. Get a free blog at