Mar 31 JDN 2460402

In a previous post I reflected on how our minds evolved for an environment of immediate return: An immediate threat with high chance of success and life-or-death stakes. But the world we live in is one of delayed return: delayed consequences with low chance of success and minimal stakes.

We evolved for a world where you need to either jump that ravine right now or you’ll die; but we live in a world where you’ll submit a hundred job applications before finally getting a good offer.

Thus, our anxiety system is miscalibrated for our modern world, and this miscalibration causes us to have deep, chronic anxiety which is pathological, instead of brief, intense anxiety that would protect us from harm.

I had an idea for how we might try to jury-rig this system and recalibrate ourselves:

Bundle the stakes.

Consider job applications.

The obvious way to think about it is to consider each application, and decide whether it’s worth the effort.

Any particular job application in today’s market probably costs you 30 minutes, but you won’t hear back for 2 weeks, and you have maybe a 2% chance of success. But if you fail, all you lost was that 30 minutes. This is the exact opposite of what our brains evolved to handle.

So now suppose if you think of it in terms of sending 100 job applications.

That will cost you 30 times 100 minutes = 50 hours. You still won’t hear back for weeks, but you’ve spent weeks, so that won’t feel as strange. And your chances of success after 100 applications are something like 1-(0.98)^100 = 87%.

Even losing 50 hours over a few weeks is not the disaster that falling down a ravine is. But it still feels a lot more reasonable to be anxious about that than to be anxious about losing 30 minutes.

More importantly, we have radically changed the chances of success.

Each individual application will almost certainly fail, but all 100 together will probably succeed.

If we were optimally rational, these two methods would lead to the same outcomes, by a rather deep mathematical law, the linearity of expectation:
E[nX] = n E[X]

Thus, the expected utility of doing something n times is precisely n times the expected utility of doing it once (all other things equal); and so, it doesn’t matter which way you look at it.

But of course we aren’t perfectly rational. We don’t actually respond to the expected utility. It’s still not entirely clear how we do assess probability in our minds (prospect theory seems to be onto something, but it’s computationally harder than rational probability, which means it makes absolutely no sense to evolve it).

If instead we are trying to match up our decisions with a much simpler heuristic that evolved for things like jumping over ravines, our representation of probability may be very simple indeed, something like “definitely”, “probably”, “maybe”, “probably not”, “definitely not”. (This is essentially my categorical prospect theory, which, like the stochastic overload model, is a half-baked theory that I haven’t published and at this point probably never will.)

2% chance of success is solidly “probably not” (or maybe something even stronger, like “almost definitely not”). Then, outcomes that are in that category are presumably weighted pretty low, because they generally don’t happen. Unless they are really good or really bad, it’s probably safest to ignore them—and in this case, they are neither.

But 87% chance of success is a clear “probably”; and outcomes in that category deserve our attention, even if their stakes aren’t especially high. And in fact, by bundling them, we have even made the stakes a bit higher—likely making the outcome a bit more salient.

The goal is to change “this will never work” to “this is going to work”.

For an individual application, there’s really no way to do that (without self-delusion); maybe you can make the odds a little better than 2%, but you surely can’t make them so high they deserve to go all the way up to “probably”. (At best you might manage a “maybe”, if you’ve got the right contacts or something.)

But for the whole set of 100 applications, this is in fact the correct assessment. It will probably work. And if 100 doesn’t, 150 might; if 150 doesn’t, 200 might. At no point do you need to delude yourself into over-estimating the odds, because the actual odds are in your favor.

This isn’t perfect, though.

There’s a glaring problem with this technique that I still can’t resolve: It feels overwhelming.

Doing one job application is really not that big a deal. It accomplishes very little, but also costs very little.

Doing 100 job applications is an enormous undertaking that will take up most of your time for multiple weeks.

So if you are feeling demotivated, asking you to bundle the stakes is asking you to take on a huge, overwhelming task that surely feels utterly beyond you.

Also, when it comes to this particular example, I even managed to do 100 job applications and still get a pretty bad outcome: My only offer was Edinburgh, and I ended up being miserable there. I have reason to believe that these were exceptional circumstances (due to COVID), but it has still been hard to shake the feeling of helplessness I learned from that ordeal.

Maybe there’s some additional reframing that can help here. If so, I haven’t found it yet.

But maybe stakes bundling can help you, or someone out there, even if it can’t help me.