What Kahneman has proposed is that The genetic determination of happiness is almost as strong as the genetic determination of height. This is truly remarkable but somehow not surprising, considering that so many aspects of our lives are in some way decided by the composition of our genetic make up. Kahneman goes further by suggesting that our propensity for pessimism and optimism are also determined by a genetic input.
Rather humorously, he says there are advantages in being a pessimist: I'm never disappointed. That's quite an enjoyable state. I remember seeing a T-shirt with the caption, A CYNIC IS WHAT AN IDEALIST CALLS A REALIST. There is an implication here that all ideas and indeed all ideals should be taken with a handful of salt and that there are advantages in looking at things with a critical eye, confounding the idealist having suppositions that will never be brought to fruition.
Kahneman also introduces the factor of time: We tend to think of a future event as an anticipated memory of it. [We] go on vacations in order to remember them. We should go on vacation and have a good time. We should think of living, and not of remembering.
Here we have evidence of our difficulty in trying to live in the present. While meditating or even day-dreaming, we may find ourselves projecting our thoughts into the future. An idea will interpose and mindfulness of the present will cannon off into thoughts about telling someone about our experience or writing about it.
Lastly, Kahneman talks about the illusion of validity. His premise that predictions in economics is useless strikes a chord with those who thought that house prices would always rise, or that there is an end in sight to the present recession. Kahneman states, They have expertise but they don't know the limits of their expertise.
The rest of the interview is taken up with Kahneman's ideas on Loss Aversion in which situation potential losers will always fight harder than potential winner as the stakes and odds are increased.
[For further information about David Kahneman's sometimes unique ideas about behavioural economics and his background, see:
http://www.speakersassociates.com/Daniel-Kahneman.aspx?ppctraffic=true&gclid=CJvH_teakbkCFbIPtAodejkAZg]
