Why do careful, intelligent people spend an hour choosing a toaster and four minutes signing a year-long contract? Why does losing something hurt more than finding the same thing feels good? Why does the first price we hear stay in our heads, and why do we keep going with plans we should have stopped long ago?
Why smart people make poor choices, and simple ways to choose better.
Why We Choose Wrong explains, in plain and friendly language, the best-known patterns that behavioral economics has found in human decisions: fast and slow thinking, loss aversion, anchoring, framing, sunk costs, present bias, choice overload, defaults, social proof, overconfidence, confirmation bias, mental accounting and the effect of hunger, tiredness and strong feelings. Each chapter begins with an everyday moment of choice, explains the idea behind it, shows it in the lives of people of different ages and situations, and ends with practical steps, a short exercise and answers to common questions.
The book is honest about the science. It says where findings are strong, where their size varies, and where famous results did not hold up when other researchers tested them again. It offers no tricks and no promises, only clear ideas and simple habits that help you notice your own patterns and design better choices for yourself.