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A review by mchester24
Misbehaving: The Making of Behavioral Economics by Richard H. Thaler
5.0
I had this book on my kindle for a while and kept pushing it aside for other things to read first, and now I'm really mad it took me so long to get to it! Thaler takes the reader chronologically on his own journey in the generation of 'behavioral economics' field-- from helping to create the field to now seeing it being used by governments across the country and being accepted by the previously stone-walled general field of economics.
The crux of the book, and behavioral economics generally, is that it is foolish to assume everyone has all the data and makes the best choices for their desired goals, they get influenced by outside factors, framing, mental shortcuts, etc. That is what makes them human, as opposed to an 'econ'-- the term for how a person would behave if they were 100% rational. Thaler does a great job breaking down this concept with various examples and studies, to the point that I ended up finding plenty of examples of my own 'misbehaving' as a human everyday (and isn't that really what you want in these type of pop-sci books?).
I loved this book, and it definitely provided me with some new tools to observe the world. I was thrilled to hear while I was almost done the news that Thaler received this year's Nobel Prize in Economics, and hopefully that will lead to this book reaching more people's bookshelves.
The crux of the book, and behavioral economics generally, is that it is foolish to assume everyone has all the data and makes the best choices for their desired goals, they get influenced by outside factors, framing, mental shortcuts, etc. That is what makes them human, as opposed to an 'econ'-- the term for how a person would behave if they were 100% rational. Thaler does a great job breaking down this concept with various examples and studies, to the point that I ended up finding plenty of examples of my own 'misbehaving' as a human everyday (and isn't that really what you want in these type of pop-sci books?).
I loved this book, and it definitely provided me with some new tools to observe the world. I was thrilled to hear while I was almost done the news that Thaler received this year's Nobel Prize in Economics, and hopefully that will lead to this book reaching more people's bookshelves.