A review by shawshank_47
Misbehaving: The Making of Behavioral Economics by Richard H. Thaler

4.0

Disclaimer-I have been intrigued by behavioral economics for a while and was quite fascinated by [b:Nudge: Improving Decisions About Health, Wealth, and Happiness|3450744|Nudge Improving Decisions About Health, Wealth, and Happiness|Richard H. Thaler|https://i.gr-assets.com/images/S/compressed.photo.goodreads.com/books/1348322381l/3450744._SY75_.jpg|2535409] by the same author. If you have curiosity about these topics, this book will track the evolution of and provide colour to many such ideas which are bound to become the mainstay of optimal decision making. The author comes across as a firebrand who has refused to follow the path of classical economics. The chief shortcoming of classical economics is the assumption that all humans make rational choices. He has made a career of challenging theories founded on assumptions of such unrealistic rationality and their figureheads. The book is divided into parts according to the themes they tackle and give rich context to the established thinking. The way Thaler goes about questioning these notions, building bridges with pioneers in the psychology academia and inspiring others to follow along makes for an interesting page turner. Okay maybe page turner is a stretch, but it still makes for a very engaging read like an entrepreneur describing how they went about realizing their vision. Bits of humor made me laugh out loud at times- the standout bit was when he narrates the Chicago showdown between the traditionalists and the unconventionalists (is that a legit word?)- I was reading it while riding the tube and recall people’s smiles in my general direction. I appreciated the part dealing with Thaler’s work in the UK, because it gave a glimpse of how effective his work can be in improving people’s lives. Understanding how we take decisions is a constant pursuit and this book will help you take a few steps in the right direction.