I agree with you. Unless the signal is so strong that people believe that their personal experience is not representative of the economy, it’s going to be overweighted. “I and half the people I know make less” will lead to discontent about the state of the economy. “I and half the people I know make less, but I am aware that GDP grew 40%, so the economy must be doing fine despite my personal experience” is possible, but let’s just say it’s not our prior.
I agree with you. Unless the signal is so strong that people believe that their personal experience is not representative of the economy, it’s going to be overweighted. “I and half the people I know make less” will lead to discontent about the state of the economy. “I and half the people I know make less, but I am aware that GDP grew 40%, so the economy must be doing fine despite my personal experience” is possible, but let’s just say it’s not our prior.