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Cover of Misbehaving: The Making of Behavioral Economics by Richard Thaler

Misbehaving: The Making of Behavioral Economics

Richard Thaler · 2015

Nobel laureate Thaler tells the intellectual history of behavioral economics — how he fought the economics establishment to prove humans are not rational actors. Surprisingly funny for a book about academic warfare, it reads more like a memoir than a textbook. His concept of 'nudges' changed policy worldwide, and his proof that mental accounting distorts financial decisions changed investing.

The case against

Half intellectual history, half score-settling. Thaler relives every skirmish with the Chicago school, and the anecdotes about who scoffed at which seminar run long after the point lands. If you have read Kahneman first, a third of this is review; and some of behavioral economics' flashier findings have since wobbled under replication.

Business & Investing · the Pro canon

The case for it and the rest of the canon open with Pro.

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