Predictably Irrational

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Cover of Predictably Irrational by Dan Ariely 0007256523title:

Predictably Irrational: The Hidden Forces That Shape Our Decisions

author:Dan Ariely
format:Hardcover Buy Predictably Irrational Now
publisher:HarperCollins Publishers Ltd
released:March 3, 2008
isbn:0007256523
isbn-13:9780007256525
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Customer Reviews

Not as dull as it sounds (is that a compliment?) - Rated 3/5
As book titles go, this isn't the catchiest. The subject matter could be construed as dull and narrow, and the weight of the book gives an air of study accompaniment rather than bedtime read.

But wait... luckily the study of behavioural economics requires lots of research and experimentation, and whilst the results may not always feel like "real science" (example - students are offered four beers, and the study showed that people would rather choose something different to the others in order to show individuality, dubious in my view), some of the studies reveal useful insight into the way the mind works and how business manipulates it.

It's actually surprisingly easy to read, aside from a sludgy section on social and market norms (the difference between, say, taking a bottle of wine round your friends house because they brought one round yours, as opposed to paying them back for bringing it). There is righteous criticism that this book takes too much of a US stance, and there are too many slants on the US health system for instance (maybe because he experienced so much first hand).

Overall, a very enjoyable bed time read, and I shall look carefully at the deals I'm offered in a supermarket from now on.


Go with your gut feel - Rated 4/5
As a complement to something like Malcolm Gladwell's 'Blink' this is a useful reader. It explores more of the mechanics of why we make decisions on instinct and from emotion. In that sense it is fascinating.


The title explains it all! - Rated 4/5
Predictably irrational indeed, but eminently readable.

Ever wondered about the whys and wherefores of how we decide things? This explains it (or trys to anyway!). An amusing and certainly not stodgy trip into decision processes, which left me thinking that the author and his amusing style would be an ideal candidate to rewrite Steven Hawking's "Brief history of time" as his explanation and analysis skills are first rate.

Worth a read. Don't ask me why, try reading the book and you might get an idea why I think that way


Competent but doesn't stand out - Rated 3/5
Since the success of Freakonomics almost every living economist must have been pressed into service to write a popular science book. The main problem this book has is that there is a whole category of 'things you didn't know about economics' books now.

The book is in easily digestible chapters, reads easily and is pretty hard to argue with, the author appears to put together experiments to determine what makes us act irrationally (or unlike classical economists' models).
In short sexual arousal, free stuff and an inability to judge free from the local environment. I doubt many people will be surprised by much in this book, as the classical rational being is a bit of a straw man these days.

The author doesn't write as well as Tim Harford, and the book doesn't shock as much as Freakonomics, in marketing terms it lacks a unique selling point. Worth it if you're a fan of these kinds of book.


One for those in the credit crunch! - Rated 4/5
Dan Ariely's book should be, by the standards set in other economic literature, a complex academic read that would only appeal to students of the subject. His skill here is to turn what could be a very boring subject into one that any layman will be fascinated by and even shocked by its revelations.

Airely suggests we make bad decisions that hurt us in the long run because we have various internal psychological factors that force our hands, so to speak. Take for example his idea that seeing the word 'Free' when taggged with a product makes us feel we are getting good value when in fact it doesn't in the end. Through various experiments with his students and others he outlines how these factors play in our purchasing decisions again and again. All this is done with a deft, simple (and at times, amusing) use of language that anyone can understand. In this time of the 'credit crunch', perhaps that might not be a bad thing.

Aside from some of the political grandstanding in places (when he talks of government intervention in places), I thoroughly enjoyed this book. It did make me think about how I approach spending in my everyday life and how my decision making process is often affected by my own views on certain things. If a book like this which I wouldn't normally look at has made me do this, then it must be good. Highly recommended!

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