The Upside of Irrationality: The Unexpected Benefits of Defying Logic at Work and at Home

The Upside of Irrationality: The Unexpected Benefits of Defying Logic at Work and at Home
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Dan Ariely. The Upside of Irrationality: The Unexpected Benefits of Defying Logic at Work and at Home

The Upside of Irrationality. The Unexpected Benefits of Defying Logic at Work and at Home

Dan Ariely

The Bonus Bonanza

The Results: Drumroll, Please…

Supersizing the Incentive

Thinking versus Doing

What about Those “Special People”?

A CALL FOR LOWER BONUSES

Public Speaking 101

Where Do We Go from Here?

A Few Words about Small and Large Decisions

CARING AS A DOUBLE-EDGED SWORD

Sucking the Meaning out of Work

Will Work for Food

“Small-M” Motivations

BLOGGING FOR TREATS

Building Bionicles

THE MYTH OF SISYPHUS

The Division and Meaning of Labor

In Search of Meaning

Something from the Oven

I Love My Origami

Customization, Labor, and Love

Understanding Overvaluation

The Importance of Completion

Labor and Love

Any Solution, as Long as It’s Mine

A Negative Current

Opposing Currents

The Pleasure of Punishment

Rotten Tomatoes for Bankers

Customer Revenge: My Story, Part I

Don’t Touch That Phone

The Very Bad Hotel and Other Stories

Agents and Principals

Customer Revenge: My Story, Part II

The Power of Apologies

If You’re Tempted

WHEN DOCTORS APOLOGIZE

Useful Revenge

What Can Pain Teach Us about Adaptation?

Hedonic Adaptation

BURNS VERSUS CHILDBIRTH

BALM FOR BROKEN HEARTS

The Hedonic Treadmill

Overcoming Hedonic Adaptation

Adaptation: The Next Frontier

Getting Adaptation to Work for Us

Where Do I Fit In?

Mind and Body

Assortative Mating and Adaptation

A DEMONSTRATION OF ASSORTATIVE MATING, OR AN IDEA FOR AN AWKWARD DINNER PARTY

Hot or Not?

Adaptation and the Art of the Speed Date

THE HIS AND HERS PERSPECTIVE

Against All Assortative Mating Odds

Enter Online Dating

Online Dating Going Awry: Scott’s Story

Experiments in Virtual Dating

SPEED DATING FOR OLDER ADULTS

Designing Web Sites for Homer Simpson

From Dating Web Sites to Products and Markets

The Identifiable Victim Effect

Closeness, Vividness, and the “Drop-in-the-Bucket” Effect

How Rational Thought Blocks Empathy

Where Should the Money Go?

How Can We Solve The Statistical Victim Problem?

Emotions and DECISIONS

The Ultimatum Game

How We Herd Ourselves

Don’t Cross Him

Can You Canoe?

Lessons from the Bible and Leeches

THE END

Eduardo Andrade

Racheli Barkan

Zoë Chance

Hanan Frenk

Jeana Frost

Ayelet Gneezy

Uri Gneezy

Emir Kamenica

Leonard Lee

George Loewenstein

Nina Mazar

Daniel Mochon

Mike Norton

Dražen Prelec

Stephen Spiller

Introduction: Lessons from Procrastination and Medical Side Effects

Chapter 1: Paying More for Less: Why Big Bonuses Don’t Always Work

Chapter 2: The Meaning of Labor: What Legos Can Teach Us about the Joy of Work

Chapter 3: The IKEA Effect: Why We Overvalue What We Make

Chapter 4: The Not-Invented-Here Bias: Why “My” Ideas Are Better than “Yours”

Chapter 5: The Case for Revenge: What Makes Us Seek Justice?

Chapter 6: On Adaptation: Why We Get Used to Things (but Not All Things, and Not Always)

Chapter 7: Hot or Not? Adaptation, Assortative Mating, and the Beauty Market

Chapter 8: When a Market Fails: An Example from Online Dating

Chapter 9: On Empathy and Emotion: Why We Respond to One Person Who Needs Help but Not to Many

Chapter 10: The Long-Term Effects of Short-Term Emotions: Why We Shouldn’t Act on Our Negative Feelings

Chapter 11: Lessons from Our Irrationalities: Why We Need to Test Everything

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International Bestselling author

And to all the participants who took part in our experiments over the years—you are the engine of this research, and I am deeply grateful for all your help.

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Our experimental design had four parts, and each participant took part in all four of them (this setup is what social scientists call a within-participant design). We asked the students to perform the cognitive task (simple math problems) twice: once with the promise of a low bonus and once with the promise of a high bonus. We also asked them to perform the mechanical task (clicking on a keyboard) twice: once with the promise of a low bonus and once with the promise of a high bonus.

What did this experiment teach us? As you might expect, we saw a difference between the effects of large incentives on the two types of tasks. When the job at hand involved only clicking two keys on a keyboard, higher bonuses led to higher performance. However, once the task required even some rudimentary cognitive skills (in the form of simple math problems), the higher incentives led to a negative effect on performance, just as we had seen in the experiment in India.

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