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submitted 10 months ago by Grayox@lemmy.ml to c/workreform@lemmy.world
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[-] hogunner@lemmy.world 66 points 10 months ago* (last edited 10 months ago)

I have a theory about this: We group money in magnitudes of tens up to a million but then jump up from 10x to 1,000x:

1

10

100

1,000

10,000

100,000

1,000,000

1,000,000,000

That’s a huge increase but our minds like patterns so we instinctively feel that a billion must be about 10x a million and not the 1,000x it really is, thus leading to huge inaccuracies.

[-] unfreeradical@lemmy.world 12 points 10 months ago

Much of our perception is logarithmic, which is predictable, since patterns occur from proportion of quantities. Absolute quantities are meaningless in themselves. Even ten dollars as a quantity is meaningless except through prior experience understanding the value of a single dollar. Every value except the smallest is tenfold greater than some other value of at least some consequence.

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this post was submitted on 11 Nov 2023
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