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Predictably Irrational: The Hidden Forces That Shape Our Decisions

Average rating: 4/5

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Predictably Irrational: The Hidden Forces That Shape Our Decisions

by Dan Ariely

HARPERCOLLINS PUBLISHERS | February 7, 2008 | Hardcover

  • Why do our headaches persist after taking a one-cent aspirin but disappear when we take a 50-cent aspirin?
  • Why does recalling the Ten Commandments reduce our tendency to lie, even when we couldn't possibly be caught?
  • Why do we splurge on a lavish meal but cut coupons to save twenty-five cents on a can of soup?
  • Why do we go back for second helpings at the unlimited buffet, even when our stomachs are already full?
  • And how did we ever start spending $4.15 on a cup of coffee when, just a few years ago, we used to pay less than a dollar?


When it comes to making decisions in our lives, we think we're in control. We think we're making smart, rational choices. But are we?

In a series of illuminating, often surprising experiments, MIT behavioral economist Dan Ariely refutes the common assumption that we behave in fundamentally rational ways. Blending everyday experience with groundbreaking research, Ariely explains how expectations, emotions, social norms, and other invisible, seemingly illogical forces skew our reasoning abilities.

Not only do we make astonishingly simple mistakes every day, but we make the same types of mistakes, Ariely discovers. We consistently overpay, underestimate, and procrastinate. We fail to understand the profound effects of our emotions on what we want, and we overvalue what we already own. Yet these misguided behaviors are neither random nor senseless. They're systematic and predictable—making us predictably irrational.

From drinking coffee to losing weight, from buying a car to choosing a romantic partner, Ariely explains how to break through these systematic patterns of thought to make better decisions. Predictably Irrational will change the way we interact with the world—one small decision at a time.

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Reviews

    • Was this review
      helpful to you?

    Rating: 4/5

    Why things don't make sense

    Randall Willis

    12 months ago

    Logic and analysis is how we rationalize our irrational choices in life. Success, I believe, comes from providing that rationale while feeding the irrational.

    If you work in any industry that requires reaching out to other people and convincing them to do something they wouldn't otherwise do (and who on LinkedIn doesn't), I think this book is a must-read. In a series of chapters that can quite comfortably be read independently, Ariely lays bear some of the myths of the rational, thinking consumer...the consumer to whom we lay out all of our wonderful arguments and then struggle to understand why they don't see the world the way we do.

    At the moment, my main occupation is medical advertising, with a focus on healthcare specialists (less on patients and consumers). These are highly trained medical practitioners who have spent their lives understanding the intricacies of the biological condition. And yet, the amazing thing I've seen is that no matter how many rational arguments I (or my clients) make for the use of a drug, if our promotional efforts fail to touch these specialists at an emotional level, the effort fails.

    How could people so highly trained behave so irrationally?

    In our case, I believe the chapter in Ariely's book on the fear of making a bad decision...of limiting options...addresses much of what we face in my industry.

    For others, it may be the inherent power of "Free" or the little devil that sits on our shoulder telling us that our dishonesty hurts no one.

    Gladwell has covered similar topics in his many books, but where Gladwell recounts experiments done by other people, Ariely discusses experiments he himself conducted with colleagues. This adds a layer of conviction to the arguments and a bit of insight that Gladwell can't provide. In that sense, I believe the authors complement each other.

    An easy read. An invaluable read."

    • Was this review
      helpful to you?

    Rating: 5/5

    Great book

    Kenny Caputo

    • Indigo Employee

    16 months ago

    Interesting insights.

    • Was this review
      helpful to you?

    Rating: 5/5

    Read and think

    Ariel

    • Top Book Reviewer

    3 years ago

    I love science. I love experiments. Just that I didn't know before, until now, that using scientific methods to learn about the irrationality of the human mind could be so much fun! Dr. Ariely takes us for a fun ride touring his various research projects - a common quest to understand how human make decisions and perceive values. When we claim to be using our rational mind in making the best educational choices, we may actually be skewed by our illogical nature and form biased and irrational judgments. Take home message: we have to be vigilant in raising our awareness against what seems to be a natural tendency to irrationality, ah well, even when that is part of being human.

    • Was this review
      helpful to you?

    Rating: 5/5

    Fascinating Reading

    Sharpquilter

    4 years ago

    found this book to be fascinating. Even though this is a scholarly work, it is very readable and easily understood. The finding of Mr. Ariely and his associates are well illustrated by an assortment of simple experiments that were conducted at several well respected Universities.

    Before I started reading, I felt that I made quite rational decisions and that I was not unduly swayed by advertising and other outside influences. I now suspect that this might not be true. I was surprised to find how much we are all influenced by our surrounding and those around us.

    Whether it affects our decision of how long a magazine subscription to select, whether I need a medication or will a placebo suffice, is a free item really free, or even if we have ordered what we truly desire in a restaurant or did we make our choice so it will be different that everyone else at the table.

    I was further surprised to find that even our level of honesty can be influenced by a variety of circumstances.

    Mr. Ariely does not leave us without hope. He does assure the reader that he can make rational decisions.

    I would highly recommend this book to any who are a student of understanding human nature. Now I am wondering how I can use my new found knowledge to get my children to do what I want them to do without them realizing how much I have influenced their decision.

    Comments on this review:
    Chris Test

    For details on how good this book is, write to me at testndtv3@yahoo.com

Details

From the Publisher

  • Why do our headaches persist after taking a one-cent aspirin but disappear when we take a 50-cent aspirin?
  • Why does recalling the Ten Commandments reduce our tendency to lie, even when we couldn't possibly be caught?
  • Why do we splurge on a lavish meal but cut coupons to save twenty-five cents on a can of soup?
  • Why do we go back for second helpings at the unlimited buffet, even when our stomachs are already full?
  • And how did we ever start spending $4.15 on a cup of coffee when, just a few years ago, we used to pay less than a dollar?


When it comes to making decisions in our lives, we think we're in control. We think we're making smart, rational choices. But are we?

In a series of illuminating, often surprising experiments, MIT behavioral economist Dan Ariely refutes the common assumption that we behave in fundamentally rational ways. Blending everyday experience with groundbreaking research, Ariely explains how expectations, emotions, social norms, and other invisible, seemingly illogical forces skew our reasoning abilities.

Not only do we make astonishingly simple mistakes every day, but we make the same types of mistakes, Ariely discovers. We consistently overpay, underestimate, and procrastinate. We fail to understand the profound effects of our emotions on what we want, and we overvalue what we already own. Yet these misguided behaviors are neither random nor senseless. They're systematic and predictable—making us predictably irrational.

From drinking coffee to losing weight, from buying a car to choosing a romantic partner, Ariely explains how to break through these systematic patterns of thought to make better decisions. Predictably Irrational will change the way we interact with the world—one small decision at a time.

About the Author

Dan Ariely is the James B. Duke Professor of Behavioral Economics at Duke University, with appointments at the Fuqua School of Business, the Center for Cognitive Neuroscience, and the Department of Economics. He is also the founder of the Center for Advanced Hindsight and a visiting professor at MIT's Media Lab. Over the years he has won numerous scientific awards. Dan wrote this book while he was a fellow at the Institute for Advance Study at Princeton. His work has been featured in leading scholarly journals in psychology, economics, neuroscience, medicine, and business, and in a variety of popular media outlets, including the New York Times, the Wall Street Journal, the Washington Post, the New Yorker, the Boston Globe, Scientific American, and Science. He has appeared on CNN and CNBC, and is a regular commentator on National Public Radio. He currently lives in Durham, North Carolina, with his wife and two children.

Hardcover

304 Pages, 6.5 x 9.38 x 1.32 in

February 7, 2008

HARPERCOLLINS PUBLISHERS

English


006135323X
9780061353239

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