An interesting read. I devoured it with the level of enthusiasm as I did freaconomics. Both books discus the dark and the unknown sides of human behaviors that have strong social impacts. As the new discipline that integrates economic and psychology, the behavior economics explore scientifically the unknown part of social behavior. Some of the experiments described in books are intriquing, many of them flawed, but nonetheless reveal many undiscovered truths.
Also worth noting, when I met Dan in a book signing event in L.A. I am impressed by his speech. Very enjoyable.
So what are so irrational about us?
We can only compare and analyze similar items. So when choosing among many is difficult, we choose the better one among a similar and much smaller group, omitting the much better option that is harder to contrast.
We are so affriad of losing something, a fake scarcity will boost up the price significantly, like the drak pearls.
There are high prices, low prices, but when the price is zero, the whole rational economic behavior break down.
Without a clear deadline, we all procrastinate. Trust is so important in a sociaty, yet it can easily fall victim to the tregidy of the commons, we all have to be vigilant.
