Why Smart People Make Big Money Mistakes and How to Correct Them: Lessons from the Life-Changing Science of Behavioral Economics
is a fascinating book in the relatively new field of behavioral economics. This area has been of interest to me for a while now since I try to understand the often very irrational decisions people make. Below I’ve written out s about the biggest fallacies that people do on routine basis. Do you recognize some of the tendencies you have in them?
- People make wrong conclusions. In the Israeli Navy the commanders discovered that most of the times a trainee was praised after a very good performance, they tend to perform worse the next time. And vice versa, if the trainee was critizised, he tend to perform better the next time. The conclusion that critizising motivates better than praise is obviously wrong – due to probability, it is not very likely to outperform already a very good performance the next time or do worse than a already low level performance. Continue reading
Nowadays with information flowing freely between countries, the habits and rituals of different cultures penetrate the western world and at times them stay. One of those concepts is spiritualism and the idea of being zen.
The western interpretation of being zen is often something as follows:
– have a piece of mind as you are, embrace fully the present and do not worry about the future;
– be satisfied with yourself, do not seek achievements to make you happy;
– do less things and spend more time enjoying the moment.
Well, I have only one thing to tell you here: Don’t be “zen”! Avoid, stay away, keep clear. Continue reading
The Time Paradox is a book that makes you really think about how you spend your time. Through practical examples and some scientific research the authors make a very clear point: the way you treat your time determinates not only your success, but also your happiness throughout your life. While reading the book, I realized that in a way I’m already making a lot of things right. My attitude towards my time has been more or less correct. I did find some things to improve too, so in that sense it was not an useless reading.:)
My notes: Continue reading
Me, at another competition in 2010
I had another idea for this week’s blog post but since yesterday I achieved one of the goals I had established myself a few years ago, I just had to make a post about it.
A couple of years ago when I started running again after a long (injury-related) pause, I set myself three goals:
– run a sub 3-minute kilometre;
– run a sub 40-minute 10k;
– run a sub 3-hour marathon. Continue reading