DIFFICULTIES JUDGING RISK. Most people have a tough time reasoning with probabilities and assessing risks. In October 2000, a train crashed in Hatfield, England, tragically killing four people and injuring thirty-four. In response, the British government proposed to invest an additional $3 billion in rail safety. However, as The Economist newspaper pointed out, the real probability of dying in a train crash is quite low compared with other forms of transportation, and this expenditure would mean spending 150 times as much per expected life saved traveling by railway versus what is spent on
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