factual

The Average Conceals Dangerous Variation

Knowing the definition of an average is not the same as understanding it: a river that is one foot deep on average can have deep stretches that drown a non-swimmer, and a stock market with 8% average returns can fall sharply, so to act wisely you must ask about outliers, the worst case, and how long it persists—not just the mean.

factualpending

Speaker

Russ Roberts

Evidence Quote

even though the average is only a foot, there could be many large stretches that are much deeper than a foot, and you'll drown and die.

Source

Russ Roberts on EducationEconTalk
Created: 6/13/2026, 12:10:03 AM

My Notes

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