amos tversky had died in 1996 but daniel kahneman was still alive. six years before his nobel prize. i went up and saw danny. we struck up a relationship over the years. i would listen to him talk about the relationship he had with amos tversky. i realized that the one term i had taught at the university of california berkeley, one of my favorite students was amos tversky's oldest child. and we had a friendship. their family was very generous and they opened his life to me. to the extent they could. and danny, it took him for three years to represent around the idea i would write a book about him. that is how the book started. it was organic. it took me quite a bit of time to see just what the story was. and how to tell it. it took me quite a bit of time to decide it was a book. charlie: in fact, you were not sure you were up to it. michael: true. it is not the first time i have felt that way but i felt more that way than i have ever felt before. there were a couple reasons. the superficial reasons were that at the heart of the book, you have an inte

it tells the story of two israeli psychologists, daniel kahneman and amos tversky. and some of their groundbreaking work uncovering the human mind. new york times says the book combines intellectual rigor with complex portraiture. he has written one hell of a love story and a tragic one at that. i am pleased to have michael lewis back at this table. it is worth noting how you came to know these two guys. michael: i had written "moneyball." which was about the way in my mind that markets misvalue people, in this case baseball

. >> stephen: walk into a bar -- yeah, yeah, right. ( laughter ) so amos tversky and daniel kahneman -- kahneman won the nobel prize in economics but they're both psychologists and they died about a love affair, they were engaged in exploring how the human mind worked when making judgments and decisions in an unemotional state. when people thought they were being rational, what were they doing? the undoing project itself was the project they were working on when the love affair busted up. it was their name for the project. specifically what they were looking at at the ti, were trying to delineate the rules of the human imagination, and the way they were getting at it was looking at the way people undid a tragedy. daniel kahneman, one of the characters -- >> stephen: how they dealt with the emotion of the tragedy? >> they say, in a way, it starts with daniel kahneman's nephew, two days away from being released from the israeli air force flying upside down and being killed. danny notices everybody saying released two days earlier. if only the flare hadn't gone up and blinded him. but t

. >> stephen: walk into a bar -- yeah, yeah, right. ( laughter ) so amos tversky and daniel kahneman -- kahneman won the nobel prize in economics but amos tversky died in 1996, but they died about a love affair, they were engaged in exploring how the human mind worked when making judgments and decisions in an unemotional state. when people thought they were being rational, what were they doing? the undoing project itself was the project they were working on when the love affair busted up. it was their name for the project. spic were trying to delineate the rules of the human imagination, and the way they were getting at it was looking at the way people undid a tragedy. daniel kahneman, one of the characters -- >> stephen: how they dealt with the emotion of the tragedy? >> they say, in a way, it starts with daniel kahneman's nephew, two days away from being released from the israeli air force flying upside down and being killed. if only, if only he had been released two days earlier. if only the flare hadn't gone up and blinded him. but they didn't say, if only there wasn't an israeli

amos tversky had died in 1996 the daniel kahneman was still alive. six years before his nobel prize. i went up and saw danny. we still have a relationship with him. i would listen to him talk about the relationship he had with amos tversky. irealized that the one term had taught at the university of california berkeley, one of my favorite students was amos tversky' oldest childs. and we had a friendship. family wasy -- their very generous and they opened his life to me. also was generous. that is how the book started. it was organic. it took me quite a bit of time to see just what the story was. and how to tell it. it took me quite a bit of time to decide it was a book. charlie: in fact, you are not sure you were up to it. michael: true. it is not the first time i have felt that way but i felt more that way than i have ever felt before. the superficial reasons were that at the heart of the book, you have an intellectual discipline, psychology, that i had to teach myself about. and you had a backdrop of israel in the early days which is a really pecul

. >> stephen: walk into a bar -- yeah, yeah, right. ( laughter ) so amos tversky and daniel kahneman -- kahneman won the nobel prize in economics but they're both psychologists and amos tversky died in 1996, but they died about a love affair, they were engaged in exploring how the human mind worked when making judgments and decisions in an unemotional state. when people thought they were being rational, what were they doing? the undoing project itself was the project they were working on when the love affair busted up. it was their name for the project. specifically what they were looking at at the time, they were trying to delineate the rules of the human imagination, and the way they were getting at it was looking at the way people undid a tragedy. daniel kahneman, one of the characters -- >> stephen: how they dealt with the emotion of the tragedy? >> they say, in a way, it starts with daniel kahneman's nephew, two days away from being released from the israeli air force flying upside down and being killed. danny notices everybody saying if only, if only he had been released two da

nobody asks a follow blood pressure hose two israeli psychologists, daniel kahneman and amos is he ski, grabbed lewis' attention when he discovered he should have known about them before he wrote "moneyball." >> i shine the light in the right places. i really missed something big when i was writing "moneyball." >> "moneyball" made into a movie starring brad pitt, describes how billy beane, general manager of the oakland a's built a winning team by ignoring the gut instincts of experienced major leagues scouts and instead using data analysis to find good players who were under valued by other teams. >> if we win on our budget with this team, we'll change the game. >> if they could be miss valued by experts in valuing them, who is left? you're probably misvalued. >> under valued more sure. >> the question is like, why does that happen? >> how can the gut instincts of apparent experts, and all of us for that matter, often be so wrong? that question is what kahneman and material see studied for decades. they changed the way we think about thinking. >> what they were engaged in right from t

nobody asks a follow blood pressure hose two isra psychologists, daniel kahneman and amos is he ski, grabbed lewis' attention when he discovered he should have known about them before he wrote "moneyball." >> i shine the ligh tt inhe right places. i really missed something big when i was writing "moneyball." >> "moneyball" made into a movie starring brad pitt, describes how billy beane, general manager of the oakland a's built a instincts of experienced major leagues scouts and insteads uing data analysis to find good players who were under valued by other teams. >> if we win on our budget with this team, we'll change the game. >> if they could be miss valued by experts in valuing them, who is left? you're probably misvalued. >> under valued more sure. >> the question is like, why does that happen? >> how can the gut instincts of apparent experts, and all of us for that matter, often be so wrong? that question is what kahneman and material see studied for decades. they changed the way we think about thinking. >> what they were engaged in right from the beginning was undoing a false v

it tells the story of two israeli psychologists, daniel kahneman and amos tversky. new york times says the book combines intellectual rigor with complex --. he has written one hell of a

it tells the story of two israeli psychologists, amos tversky and daniel kahneman and their groundbreaking work uncovering the human biases of the human mind. "new york times" says the book combines law electual rigor with complex portraiture. he's written a hell of a love story and a tragic one at that. i'm pleased to have michael lewis back at this table, welcome. >> thanks. >> rose: it's worth noting how you came to know these two guys. >> yeah. it was accidentally. most of the folks are but i had written moneyball, which was about the way in my mind, the way markets misvalued people. in that case baseball player. misjudged these players so there were cheap expwuns and expensive ones and so on and so forth. my interest was kind of that. why if baseball players can be misjudged, who can't be. i never asked the question of why it happened. in a review after the book came out in the new republic, they said basically michael lewis has written a good story but he doesn't seem to understand there's a source for all this stuff. actually these two israeli psychologists who did work on the biase

it tells the story of two israeli psychologists, daniel kahneman and amos tversky. and some of their groundbreaking work uncovering the human mind. new york times says the book combines intellectual rigor with complex portraiture. he has written one hell of a love story and a tragic one at that. i am pleased to have michael lewis back at this table.

nobody a pressure hose two israeli psychologists, daniel kahneman and amos is he ski, grabbed lewis' attention when he discovered he should have known about them before he wrote "moneyball." >> i shine the light in the right places. i really missed something big when i was writing "moneyball." >> "moneyball" made into a movie starring brad pitt, describes winning team by ignoring the gut instincts of experienced major leagues scouts and instead using data analysis to find good players who were under valued by other teams. >> if we win on our budget with this team, we'll change the game. >> if they could be miss valued by experts in valuing them, who is left? you're probably misvalued. >> under valued more sure. does that happen? >> how can the gut instincts of apparent experts, and all of us for that matter, often be so wrong? that question is what kahneman and material see studied for decades. they changed the way we think about thinking. >> what they were engaged in right from the beginning was undoing a false view man has in himself. the view that the mind is somehow rational and

daniel kahneman, people know him because he won the nobel prize. >> and he did not die. amos was byy lived, far the better known person. was quirky,skied funny, fresh, not pretentious at all, but regarded by everyone who met him as the smartest person they had ever met, to the point where a psychologist designed a one line intelligence test. the longer it takes you after you have met amos, the longer it takes you, the stupider you are. amos had an ability to see the ideas coming out of danny, seeing that they were extremely important, and gave danny confidence. danny was the idea generating machine. amos just had a clarity of a diamond cutter. to take ideas and shake them so the world accepts them. david: that is michael lewis, the author of "the undoing project." up, the surge of capital into canada's budding marijuana industry has sent stock versus oaring, but could the ball soon burst? this is bloomberg. ♪ david: this is bloomberg markets. i'm david gura. sears stock is rising today but is leaving investors scratching their heads as to why. they posted a $748 millio