Misbehaving: The Making of Behavioral Economics

Shortlisted for the Financial Times and McKinsey Business Book of the Year Award
From the renowned and entertaining behavioural economist and co-author of the seminal work Nudge, Misbehaving_x000D_ is an irreverent and enlightening look into human foibles. Traditional _x000D_ economics assumes that rational forces shape everything. Behavioural _x000D_ economics knows better. Richard Thaler has spent his career studying the_x000D_ notion that humans are central to the economy - and that we're _x000D_ error-prone individuals, not Spock-like automatons. Now behavioural _x000D_ economics is hugely influential, changing the way we think not just _x000D_ about money, but about ourselves, our world and all kinds of everyday _x000D_ decisions.
Whether buying an alarm clock, selling football tickets, _x000D_ or applying for a mortgage, we all succumb to biases and make decisions _x000D_ that deviate from the standards of rationality assumed by economists. In_x000D_ other words, we misbehave. Dismissed at first by economists as an _x000D_ amusing sideshow, the study of human miscalculations and their effects _x000D_ on markets now drives efforts to make better decisions in our lives, our_x000D_ businesses, and our governments.
Coupling recent discoveries in _x000D_ human psychology with a practical understanding of incentives and market_x000D_ behaviour, Thaler enlightens readers about how to make smarter _x000D_ decisions in an increasingly mystifying world. He reveals how _x000D_ behavioural economic analysis opens up new ways to look at everything _x000D_ from household finance to assigning faculty offices in a new building, _x000D_ to TV quiz shows, sports transfer seasons, and businesses like Uber.
When_x000D_ economics meets psychology, the implications for individuals, managers _x000D_ and policy makers are both profound and entertaining.