Risky Business: Health Risk, Relativity, and Perception
Patt Morrison of KPCC Radio in Southern California talks to me about how people make various rational and irrational decisions in their lives. CLICK HERE to listen.
Patt Morrison of KPCC Radio in Southern California talks to me about how people make various rational and irrational decisions in their lives. CLICK HERE to listen.
In 1991, I remember where I was walking when I learned that Magic Johnson was HIV positive. I shuffled along in a daze, distraught at the thought of such a young and magnificent man facing imminent death. Back then, you see, an HIV diagnosis was practically a death sentence. Of course, Magic Johnson is still alive….
The MacOS has a new self control app called, straightforwardly, SelfControl. The app has an ominous icon, which looks like a cross between a poker game gone wrong and the warning symbol on a bottle of poisonous chemicals: The app gives users the ability to temporarily block websites, which they know they are wasting too…
A quick quiz before we start today’s lesson. What do we call a tree that grows from acorns? What do we call a funny story? What sound does a frog make? What is another word for a cape? What do we call the white part of an egg? On that last question, were you tempted…
Behavioral economists have written a lot about sunk costs. The idea is pretty simple: once people have invested in an effort – in time or money – they stick with that effort longer than is otherwise justified. They don’t want to feel like they’ve wasted their investment, so they continue to invest even when pulling…
Here is a video of a webinar in which Avni Shah and I discuss some controversies about what governments should do when consumers harm themselves through irrational behavior. Avni is a doctoral student in Marketing at Fuqua. Check out the bag of sugar she pulls out to illustrate the dangers of big gulp beverages. Feel free to add questions or comments, and I’ll chime in with my additional thoughts.
Studying economics in college at the dawn of the Reagan presidency, I learned about the wonders of free-markets. The invisible hand of the market, I read, guarantees that thousands upon thousands of people–each with unique desires, abilities and values–mesh together, thereby able to achieve the balance of work and leisure, and of material and spiritual…