Misbehaving: The Making of Behavioral Economics
Logic requires that people find universal laws, but outside of scientific fields and once human psychology has a role to play, it is perfectly possible for behavior to become contradictory. A tax rise can cause you to work less because the returns of your labor are lower, or work harder to maintain your present level of disposable wealth. There are... See more
We can also trace the consequences of loss aversion in surprisingly diverse observations: only out-of-pocket losses are compensated when goods are lost in transport; attempts at large-scale reforms very often fail; and professional golfers putt more accurately for par than for a birdie. Clever as she was, my grandmother would have been surprised by
... See moreDaniel Kahneman • Thinking, Fast and Slow
incredible work in applied behavioral economics that was happening in the government, specifically using the power of defaults to encourage positive behavior. These defaults are known as nudges, made famous in the bestseller Nudge, by Richard Thaler and Cass Sunstein.
Annie Duke • Quit: The Power of Knowing When to Walk Away
Some economists are already working on that. They are using this brain-imaging data to support a new political philosophy known as asymmetric paternalism. That's a fancy name for a simple idea: creating policies and incentives that help people triumph over their irrational impulses and make better, more prudent decisions. Shlomo Benartzi and Richar
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