"There's new technology emerging from behavioral economics and we are just starting to make use of that. I thought the input of psychology into economics was finished but clearly it's not!"
Let's put aside poverty alleviation for a second, and let's ask, "Is there something intrinsic to poverty that has value and that is worth studying in and of itself?" One of the reasons that is the case is that, purely aside from magic bullets, we need to understand are there unifying principles under conditions of scarcity that can help us understand behavior and to craft intervention. If we feel that conditions of scarcity evoke certain psychology, then that, not to mention pure scientific interest, will affect a vast majority of interventions. It's an important and old question.—Sendhil Mullainathan
At a minimum, what we're saying is that in every market where there is now required written disclosure, you have to give the same information electronically and we think intelligently how best to do that. In a sentence that's the nature of the proposal.—Richard Thaler
If you remember one thing from this session, let it be this one: There is no way of avoiding meddling. People sometimes have the confused idea that we are pro meddling. That is a ridiculous notion. It's impossible not to meddle. Given that we can't avoid meddling, let's meddle in a good way. —Richard Thaler
"It is customary to think about fashions in things like clothes or music as spreading in a social network. But it turns out that all kinds of things, many of them quite unexpected, can flow through social networks, and this process obeys certain rules we are seeking to discover. We've been investigating the spread of obesity through a network, the spread of smoking cessation through a network, the spread of happiness through a network, the spread of loneliness through a network, the spread of altruism through a network. And we have been thinking about these kinds of things while also keeping an eye on the fact that networks do not just arise from nothing or for nothing. Very interesting rules determine their structure."
BANAJI: What is remarkable about this test, which is called the Implicit Association Test—the IAT—is that it allows you to be a subject in your own experiment. Most scientists do not have the remarkable experience of being the object of study in their own research.
GREENWALD: The IAT provides a useful window into some otherwise difficult-to-detect contents of our minds. In some cases, we find things we did not know were there. It may be "an inconvenient truth" that what's there is not what we thought was there or want to be there. But I think it is generally something we can come to grips with.
"I'll start with a topic that is called an inside-outside view of the planning fallacy. And it starts with a personal story, which is a true story."
"As I look through the structure of the words and the structure of the sentences, it just becomes clear that they don't have recursion. If recursion is what Chomsky and Mark Hauser and Tecumseh Fitch have called 'the essential property of language', the essential building block—in fact they've gone so far as to claim that that might be all there really is to human language that makes it different from other kinds of systems—then, the fact that recursion is absent in a language — Pirahã — means that this language is fundamentally different from their predictions."
"When you put that set of horrendous work conditions and external factors together, it creates an evil barrel. You could put virtually anybody in it and you're going to get this kind of evil behavior. The Pentagon and the military say that the Abu Ghraib scandal is the result of a few bad apples in an otherwise good barrel. That's the dispositional analysis. The social psychologist in me, and the consensus among many of my colleagues in experimental social psychology, says that's the wrong analysis. It's not the bad apples, it's the bad barrels that corrupt good people. Understanding the abuses at this Iraqi prison starts with an analysis of both the situational and systematic forces operating on those soldiers working the night shift in that 'little shop of horrors."
AFFECTIVE FORECASTING...OR...THE BIG WOMBASSA: WHAT YOU THINK YOU'RE GOING TO GET, AND WHAT YOU DON'T GET, WHEN YOU GET WHAT YOU WANT
"The problem lies in how we imagine our future hedonic states. We are the only animals that can peer deeply into our futures—the only animal that can travel mentally through time, preview a variety of futures, and choose the one that will bring us the greatest pleasure and/or the least pain. This is a remarkable adaptation—which, incidentally, is directly tied to the evolution of the frontal lobe—because it means that we can learn from mistakes before we make them. We don't have to actually have gallbladder surgery or lounge around on a Caribbean beach to know that one of these is better than another. We may do this better than any other animal, but our research suggests that we don't do it perfectly. Our ability to simulate thefuture and to forecast our hedonic reactions to it is seriously flawed, and that people are rarely as happy or unhappy as they expect to be."