Saturday, August 15, 2009

Predictably Irrational

Dan Ariely has hit a perfect tone in presenting solid research to a wide audience. Predictably Irrational is a fun read, and at the same time a book I would use in a graduate psychology course. On one level this books helps us understand our own, at times, irrational choices, as well as the odd choices made by people around us. After reading this I found that I was able to slow some of my reactions, such as a response to something that is "free." There are also, however, deeper application levels of this book. How we present things effects decisions people make, which means that marketing can powerfully influence our choices as well as some of our moral decisions. In this light I found the book insightful about the power of minor suggestion to change an outcome. Anyone involved in human research will be interested in these findings. Anyone involved in leadership would also benefit from this book, as would any life coach working with people on financial decisions. The book challenges our assumptions about supply and demand, the cost of "free", the power of social norms, the influence of arousal, the price of ownership, our ability to let a "door close" behind us, the effect of expectations and a great deal about lying and truth telling. The book is enjoyable to read, well researched and documented. I recommend this book to anyone interested in how they personally make decisions, how other people make seemingly irrational decisions (think Wall Street), as well as anyone interested in social psychology or economic psychology.

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