Not sure I follow, inverse correlation between what? The analysis at the bottom (assuming you mean fig. 11) is too dense to show if there's a correlation or not (between skill and self-assessment bias), and looking at the relevant figure from the paper itself gives me the impression that there is a correlation.
>> a world in which people are very bad at estimating their own skill, therefore, statistically, people with lower skills tend to overestimate their skills, and experts tend to underestimate it.
> Be careful here, the conclusion you drew doesn't actually follow.
Can you elaborate? If X and Y are two independent random variables, X representing skill and Y representing self-assessment of skill, X and Y will be negatively correlated - this is exactly what the first part of the article is about, although from my perspective it's the author who's drawing the wrong conclusion.
>> y - x ~ x, this is called the residual plot
> You're giving x and y meaning that they don't have. In the article these are uncorrelated random variables - the plot of y-x ~ x will always look that way. That's however not the case if you're plotting y_hat - y ~ y_hat for a y_hat taken out of a model. That won't be a random variable in your setup.
Not following again. Other than calling x y_hat, and having y_hat be your own estimate vs. x be the subjects' estimate, what is the distinction? What do you mean by "the plot of y-x ~ x will always look that way" - what way? The shape of the plot will necessarily depend on the relationship between x and y.
