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Why people comply when they are nudged
Biases are hardwired and difficult to change. To change behavior, attention is not paid to countering the problematic thoughts, judgments, or predictions. Instead, it has been directed to changing the behavior in the form of incentives or "nudges."
xample, employers have been able to nudge employees into contributing to retirement plans by making saving the default option; you have to actively take steps to not participate. _
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Japanese train stations use nudge theory.
- Blue lights improve the mood of commuters and reduce suicide attempts.
- The door closing jingle lighten the highly stressed peak hour commute.
- A high-frequency tone at station entrances reduce teenage loiteri...
Behavioral economists show that when humans make quick decisions under pressure, it is based mostly on intuition. They are unconsciously guided by biases and psychological fallacies.
The nudge theory suggests making subtle interventions to nudge people to make certain choi...
The task of a choice architect is to organize the context in which people make decisions.
Changing the context in which people make choices can make desired behaviors easier to accept.
- Intuitive and automatic: This kind of thinking is quick and feels instinctive. You duck when a ball is thrown at you unexpectedly.
- Reflective and rational: This thinking is deliberate and self-conscious. You use this system when you ha...
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We don't just buy products because of what they are, but we often buy them because of where they are. For example, items on store shelves that are at eye level tend to be purchased more than items on less visible shelves.
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90% of your daily decisions happen automatically, many shaped by your environment. Thus, most decisions are a habit, not a deliberate choice.
To make smarter choices, design smarter defaults. And habits can be developed by shaping the invisible defaults of your life.
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As humans, we misjudge risks and opportunities. Our mental software seems coded to make us fumble our finances.
Several cognitive biases trip us over money and life decisions, and there's not much we can do about it, according to Daniel Kahneman.
If the mind’...
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