DAN ARIELY

Updates

Ask Ariely: On Superstitious Toasts and Exploring the Unknown

April 12, 2014 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

At a dinner party a few years ago, we were raising our glasses to our hosts’ health. The person on my right said that every time you make a toast, you need to look straight into the eyes of the person you’re toasting as your glasses touch—and that failure to do so inevitably results in five years of bad sex.  I don’t think anyone around the table believed in that superstition, but we found it very amusing and, for the rest of the night, looked into each other’s eyes while toasting.  I don’t think of myself as superstitious, but since that dinner party, I find myself looking very intently into peoples’ eyes whenever I toast.  I know I am being irrational, so why can’t I shake this superstition?

—Kathleen

If you were going to design a superstition, this one is as close to perfect as you’re likely to get.  For starters, the cost of the ritual (looking into each other’s eyes) is low, and in fact pleasurable.  On the other hand, the cost of ignoring the ritual is very high (years of rotten sex). It’s certainly not worth risking such a large consequence for such a small act. And like all good superstitions, the outcome in question occurs far into the future and is difficult to evaluate objectively.

The only thing I might add would be a method to make things right after a missed opportunity. Perhaps if someone forgets to make eye contact, they should have to close their eyes and have the person next to them hold a glass to their lips and help them drink? With this addition, you would have a perfect ritual and superstition to make any party a bit more fun.

Incidentally, I told a friend about this five-year deal, and his response was, “Only five years?”

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Dear Dan,

As summer finally gets closer, we are starting to plan our family vacation. The past few years, we have gone to Florida for two weeks. Should we stick to this familiar plan or try something different?

—Michael

In general, sticking with something well-known is psychologically appealing. Our attraction to the sure thing explains why, for example, we often frequent the same chain restaurants when we travel—and even order the same familiar dishes.  Sure, we might enjoy something new more than the sure thing, but we also might not. And given the psychological principle of loss-aversion (whereby we dislike losses more than we enjoy gains), the fear of loss looms heavy, and we decide not to risk trying anything new.

That’s a mistake, for three key reasons. First, if you think about a long time horizon (say, 20 more years of vacations and eating out), it is certainly worth exploring what else may be out there before settling into a limited set of options. Second, variety really is one of the most important spices of life.  Finally, vacations are not just about the two weeks you are away from work; they’re also about the time you spend anticipating and imagining your trip, as well as the time after you are back home when you replay special moments from your vacation in your mind.  Among these three types of ways to consume the vacation—anticipation, the trip itself and consuming the memories afterward—the shortest amount of time is spent on the vacation itself.

Given all this, the short answer is: try something new.

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See the original article in the Wall Street Journal here.

Ask Ariely: On Quick Cleaning, Misery’s Company, and Traveling Torture

February 15, 2014 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

Why do I clean my cell phone many times a day but don’t care that much about the cleanliness of my car or my house?

—Sara 

I suspect that this is about your ability to reach your end goal. You probably don’t really think you can ever reach your goal of getting your house 100% clean—maybe 80%, tops. The task is just too large, and others in your household can mess the place up faster than you can clean it. But when it comes to your phone, perfect cleanliness is within reach, and this achievable goal spurs you on.

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Dear Dan,

I recently met up with an old friend whom I hadn’t seen for a very long time. I had been eagerly looking forward to our lunch, but I left very disappointed. All she did for more than two hours was complain—mostly about her husband, with some breaks to complain about her kids. It was just negative and depressing. Why do people complain so much? Could she really think this was a good way to spend time with an old friend?

—Andrea

People complain for many reasons, and we should to try to figure out your friend’s. For one thing, misery often does make us closer to one another. Imagine that you meet a friend—and either tell them how annoying traffic was along the way, or give them the same level of detail about how wonderful your drive was and how easy it was to find parking. Under which case would your friend like you more?

Also, when we complain, we often are looking for reassurance—hoping others will tell us that everything is OK and that what we’re experiencing is just part of life.

So your friend might have been looking to reconnect through shared misery. In this case, you should have indulged her efforts to strengthen your bond. But your friend might also have really wanted you to tell her something like, “You think your husband is a schmuck? Let me tell you about my prize”—thereby assuring her that her life is actually more normal than she might think.

Either way, complaining can actually be pretty useful. The next time a friend starts complaining, go with it.

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Dear Dan,

I travel a lot for work, and I’ve been getting increasingly annoyed with the U.S. way of flying: the waste of time, the disrespect shown to passengers and the lame excuses for delays that the airlines make. Why are we putting ourselves in this horrible situation?

—David

I’m not sure, but here’s what helps me. First, every time I’m stuck on a runway, I try to think about the marvel of flight and remind myself how amazing the technology is. Second, I try to see the experience of travel misery as evidence of our common humanity. Security guards and airline staffers are just as rude and inconsiderate all around the world, suggesting that once you put people in the same situation (in this case, the same tiring, trying and thankless service job), we all turn out to be more or less the same. And as more people travel and see our deep similarity, we will all come this much closer to world peace. Anyway, that’s what I tell myself—and it helps.

See the original article in the Wall Street Journal here.

Ask Ariely: On Airborne Electronics, a Mistaken Masseuse, and Friends who Post Bail

December 7, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

Delta Air Lines recently announced plans to start distributing thousands of Microsoft Surface 2 tablets to its pilots to spare them lugging around heavy documents, maps and flight plans. As a passenger, I always suspected that flight attendants sometimes ask us to turn our gadgets off not because they might harm the plane’s instruments but because some airline employees get a kind of twisted satisfaction from making passengers suffer a bit more. What do you think? Is the whole issue of turning electronics off just a way to make the passengers realize that the flight attendants are really in control?

—Adam 

In fairness, the unpopular (and rapidly fading) ban on using personal electronics during takeoff and landing was a Federal Aviation Administration regulation, not a policy by the airlines. Even so, the logic of turning off iPads and Kindles while taxiing was never clear to me either, and the joy that some flight attendants took in commanding passengers to turn their devices off could make one suspect that your “control theory” is right. Nevertheless, I suspect that this was just one more regulation set up without much thought that the poor flight attendants were forced to follow—and that in fact, they most likely suffered much more from having to enforce a rule that annoyed passengers and lacked logic many times a day.

I do worry about another aspect of your question: making airplanes too reliant on tablet technology. A crash of the less dangerous type could translate into a more harmful one.

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Dear Dan,

I recently had a massage when I was very tired, and I fell asleep repeatedly. Every time I dozed off, the masseuse moved me particularly vigorously and woke me up. This left me a bit embarrassed, and it wasn’t fun to be woken up so many times in one hour. What should the masseuse have done—let me sleep through the massage, or woken me up to experience it?

—Merve 

The person giving you the massage was wrong. More generally, this is really a question about different types of pleasure and their building blocks. In general, you can think about the pleasures you get from anticipating a massage, experiencing it, and remembering it after the fact.

The interesting thing about remembered and anticipated pleasure is that they capture some aspects of the experience—but not all of them. That’s why, for example, you might remember an experience that was great for 15 minutes as better than an experience that was great for the first 15 minutes and then merely good for 15 more. In essence, the longer experience had more goodness in it (30 minutes), but the remembered pleasure wasn’t as large because it also involved some less exciting moments.

I suspect that the masseuse wanted you to have more moments in which you experienced the massage—but by doing so added some less pleasurable parts and decreased your remembered pleasure, which will also decrease the anticipatory pleasure you’re likely to feel before your next session on the table.

This lesson, by the way, applies to many other domains of life. Think about a presentation to clients, a dinner party, or a discussion with a friend—it’s the quality, not the quantity, which influences our remembered and anticipated pleasures.

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Dear Dan,

My kids are spending much of their time on social networks such as Facebook. Are they really being social with their friends or just wasting time?

—Dafna 

Here’s my test for real friendship: Would your friends bail you out of jail if you needed them to? My sense is that spending face-to-face time with friends is likely to increase the likelihood of bail, while following someone’s status updates won’t. If your kids aren’t increasing their odds of getting real help when they need it, they probably aren’t being social in a meaningful way.

See the original article in the Wall Street Journal here.

Ask Ariely: On Feeling Gypped, Dishing out for Wine, and Dressing Down

November 9, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

I am the president of a local union that represents many federal workers. We are dealing with an interesting complaint stemming from the days during the government shutdown when employees were furloughed. Staffers who were furloughed are getting back pay for the days they were off, and because of this the employees who were designated as exempted from the furloughs (who originally felt special about their status and contribution) now feel gypped: Some of them expressed feeling like “a fool for working while others got to stay home.” Any advice? 

—Robert

The current approach is clearly the wrong way to design paybacks after a furlough. Since we are likely to experience more government shutdowns in the years to come, maybe we should have a strategy for handling such situations.

I would suggest creating small groups composed of both furloughed and exempt employees and letting each furloughed worker decide how much of their back pay he or she is willing to contribute to the exempt workers in that group. A lot of research shows that people care to some degree about the welfare of others and about fairness, and we do so even at a cost to our own pocket. This kind of social utility should get the furloughed employees to act fairly, and they are even likely to be extra fair if the amount that they would give is going to be posted publicly and contribute to their reputation.

It’s possible that the government at some point will step in and do something to correct the issue. But while this local approach won’t completely fix the problem, it should make the distribution of income more equitable and, just as important, increase camaraderie among employees.

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Dear Dan,

I love drinking good wine. Each time I go to a restaurant I wonder what is the ideal amount of money to spend on a bottle. What do you do?

—John 

A recent experiment suggests an answer. Ayelet and Uri Gneezy from the University of California, San Diego, teamed up with a winery owner in their state to figure out, experimentally, the best price for his Cabernet. On some days they sold the wine for $10, on others for $20 or $40. Demand fell off at $40, but the winery sold more bottles of its Cabernet when the price was $20 than $10. On top of that, the customers who paid more indicated that the wine tasted better!

Uri and John List describe that experiment in their new book “The Why Axis,” in which they use field experiments as a method to look at many of life’s questions, from wine to love to the workplace. Their main advice is that we should all do more experiments.

So, the next time that you go to a restaurant, order two glasses of the same varietal of wine, one rather basic and one fancy, and tell the waiter to write down which is which and not to tell you. Then see if you can tell the difference. Of course, trying this experiment with just two wines is bad science, because you could be correct by chance, so you need to repeat the experiment many times. My guess? Your ability to tell the price difference will be indistinguishable from random guesses.

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Dear Dan,

I recently watched your presentation at a professional conference and was wondering why an Israeli guy telling Jewish jokes is wearing an Indian shirt? 

—Janet 

In general I am not someone who should be asked for fashion tips, but this might be an exception. I like to dress comfortably, but in many professional meetings there is a code of uncomfortable dress: suits. My solution? I figured that as long as I am wearing clothes from a different culture, no one who is politically correct would complain that I’m underdressed. After all, the critics could be offending a whole subcontinent. Now that I think about it, maybe I should start giving fashion tips.

See the original article in the Wall Street Journal here.

Salacious Rat King

November 1, 2013 BY danariely

Costume1 Costume2

We all occasionally find ourselves paralyzed by looming decisions, unable to make up our minds with time running out. I was recently afflicted in just this way—I had no idea what to be for Halloween.

Costume ideas will usually just come to me, allowing enough time to prepare at a leisurely pace. I’d then confidently strut my way through Halloween parties full of friends in hand-sewn outfits with witty pop-culture references.

This year was different, though. My anxiety mounted as the big night approached and I had yet to pick a costume idea (let alone gather and assemble the required supplies). Before I knew it, it was the morning of the 31st and my Halloween-induced stress was at an all-time high. As the resident artist for the lab, my calling card is coming up with creative things.

Hundreds of ideas ran through my head, but everything was too difficult, expensive, or obscure. What to do?!

Fortunately, a friend directed me to a simple website which suggested a different nonsensical costume with each visit. Among the suggestions were ideas as disparate as “smutty rice cooker,” “exotic forklift,” and “immoral waffle.” Just a few quick clicks in and I knew what my Halloween costume would be: “The Salacious Rat King.”

Relief washed over me, and I began to mentally piece together my outfit. I could wear my sheepskin rug as a furry cape! I could make a mask from the box of desperately stale breakfast cereal! Suddenly, I was eager to go home and create my salacious rat king ensemble.

How did I go from immobilized by indecision to optimistic and enthusiastic about dressing up for Halloween in just a couple minutes?

By outsourcing my costume decision-making to a website, I was able to relinquish some responsibility over the outcome, lifting a weight from my shoulders. Instead of continuing to fret all day about my choices, the assistance of the costume-suggester gave me one humorous option at a time.

I no longer had to think, “What in the whole universe should I choose to assume as my identity for the night,” and instead, “am I more rakish ironing board or seductive mastiff?” This simplification of the process may have closed off some great costume options, but my enjoyment of Halloween was markedly increased once I accepted the computer’s suggestion.

In the end, my salacious rat king costume was a great success, and my Halloween was saved thanks to outsourcing my decision.

For more on the process of outsourcing decision making and the influence it has on stress and choice, we recommend this paper by fellow Duke Professor Gráinne Fitzsimons and this emotional TEDx talk by Stanford Professor and friend of the lab Baba Shiv.

~Matt Trower~

http://intl-pss.sagepub.com/content/22/3/369.full – paper

http://www.ted.com/talks/baba_shiv_sometimes_it_s_good_to_give_up_the_driver_s_seat.html

Ask Ariely: On Tesla, To-Do Lists, and Knowing the News

October 14, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

I was thinking about buying a Tesla electric car, and I was very excited about it, but given the recent news, I am not sure this is a wise decision. Is it too risky?

—Karl

Indeed, earlier this month a Tesla Model S drove over a large metal object, and the object punched a hole through the plate protecting the battery, and the battery pack caught on fire. But this is only one part of the story. In August, the model S received five stars in all test categories—an unusually high rating—by the National Highway Traffic Safety Administration. In the two days after we all learned about the crash test ratings, the stock of the company went up by 2%.

We now need to add one more data point to this body of evidence: The fire happened on Oct. 1. The share price fell by 10% over the next two days. By the way, this means that the effect of one small piece of bad news can be four times more effective than good news based on much more data. (A rare downgrade of the stock by the R.W. Baird brokerage from “outperform” to “neutral” probably also contributed to the drop.)

Elon Musk, Tesla’s CEO, pointed out in a statement Oct. 4 that no one was hurt, that the car warned the driver to pull over, and that gas cars are in no way safer. After the statement, the stock price increased by 3%, making the overall losses 6.2% from the day before the accident.

From a psychological perspective, this overreaction to one very salient (and very sad) accident is nothing new. It is a consistent way that we react to salient news, and it is perfectly irrational.

And after all of this, my suggestion to you? If you had decided to buy a Tesla before this accident, get one now—because the event didn’t add much to the information you used to make your original decision. In fact, given that other people might have an irrational fear of buying a Tesla, maybe the prices will go down a bit.

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Dear Dan,

Why do people love to write to-do lists?

—Joe 

I suspect there are rational and irrational reasons for the very large amount of list-making activity we see around us. On the rational side, lists help us with faulty memory and allow us to share tasks with other people simply and efficiently. On the irrational side, making lists and checking items off these lists give us the false sense that we are actually making progress. The term for this by the way is “structured procrastination.” It’s an attempt to capture the momentary feeling that we are progressing—whereas in fact when we look back at the end of the day on what we achieved, we realize that we did not get much done. I also suspect that all the apps that help us make lists and then make it fun for us to check things off are reducing our collective productivity, by replacing real work and focus with structured productivity.

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Dear Dan,

I am always upset by bad news online when I turn on my computer. But negative news is pervasive, so what can I do to make myself feel better and get down to work immediately?

—Liz

One approach is to start each day with the most depressing set of news around for about five minutes and then move to the regular news. The idea here is that contrast between the highly depressing and the regular will make you feel good in comparison.

See the original article in the Wall Street Journal here.

Ask Ariely: On Disappearing Socks, Grandparents with an Agenda, and Arming Teachers

June 22, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

I have a question that has been bothering me for a very long time: Why is it that socks always get lost in the laundry?

—Jamie

This is a deep and important question, and I actually looked into it some time ago with one of my Israeli friends, Ornit Raz.

We discovered that belief in the supernatural is very strong when it comes to the disappearance of socks. Otherwise reasonable people, who think that they have a strong grasp of the forces of nature, feel at a loss when it comes to this universal mystery, and it deeply shakes their faith in the laws of physics.

We also found one mechanism that can explain this mystery—the overcounting of missing socks. You have many socks, and if you see one of them and don’t immediately find its partner, you say, “Oh! A sock has been lost!” You remember that a sock is missing, but you do not exactly recall its type or color.

Later on, you see the matching sock, but you don’t remember that it forms a pair with the first sock, and you say to yourself (again): “Another sock is missing. Where is its partner? I can’t believe so many socks go missing.”

So we often count as lost each sock in a pair—even though neither is really lost. At the end of the day, the mystery is not due to the suspension of the law of physics but to the much larger puzzle of how our memory works (or doesn’t work). Yet I still feel that, at the back of my laundry machine, there may be a black hole that is suitable just for socks.

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Dear Dan,

Our daughter has been married to a bullying control freak for the past five years. We have no sympathy for her; she is an admitted gold-digger, and her hubby has boatloads of money. Knowing our feelings about the marriage, they have shut us out. My wife and I would like to see our grandson, but grandparents have no visiting privileges in our state. Any advice?

—Reg

It is hard to give advice on this complex issue, but here are a few suggestions. First, try calling your daughter and her husband and simply saying that you’re sorry about previous negative encounters. You don’t sound sorry to me, but that’s OK—just say it and say it repeatedly. In experiments, we found that saying sorry works rather well, and it works even if people don’t mean it. It works even if the person from whom you ask forgiveness knows you don’t really mean it.

The point is that, when someone says he or she was wrong and asks forgiveness, it’s hard to keep on being mad at them. You might find it hard to swallow your pride, but think about this relationship as a game of chess. You really care about the king (seeing your grandson), and pride is just a pawn in the game (well, maybe a bishop)—so it’s OK to sacrifice it.

If this approach doesn’t work, and if you’re serious about getting access to your grandson, I would recommend that you move in next door. This will force some interaction between you, and hatred is going to be harder to maintain—particularly if you are nice to your grandson (what parents can hate people who love their kids?) and if your grandson wants to spend more time with you (what parents can resist their kids?).

Finally, I should mention that my personal experience is that living next to my parents-in-law is not only incredibly helpful, meaningful and useful, but that the pleasures of an extended family have been beyond my expectations.

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Dear Dan,

With the recent debate over gun control and protecting school children, should we arm schoolteachers to make schools safer?

—Ron

Hard to know from the point of view of policy, but here’s one thing that is clear to me: If my own schoolteachers had been armed, I would not have survived middle school.

See the original article in the Wall Street Journal here.

Ask Ariely: On Tipping, Attachment, and Hoarding

June 8, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

I work as a waiter in Waikiki, and sometimes to pass the time I conduct mini-experiments with customers, altering my behavior and attitude from day to day and seeing if it increases tips (in case you were wondering, seeming sad nets the most tips).

I have noticed that those paying with credit cards leave bigger tips, but it varies by card: American Express users tip the most, those with Visas a little less. Discover card users are by far the worst. I can’t quite figure this out.

—V 

One possibility is that wealthier people get American Express cards, the less affluent Visa, and the least well-off Discover—and they tip accordingly. You should be able to test this hypothesis by looking at their spending patterns—for example, how much they spend on wine.

Another possibility is that credit cards have a priming influence. If a person takes out an American Express card and looks at it, its reputation as a premium card might make the owner feel richer and therefore more generous. These feelings would diminish with a Visa card and be present even less with a Discover card (which generally is of more modest repute).

My guess is that both of these hypotheses play a role in what you’ve observed. To be sure, we would need to experiment by having a group of people with multiple kinds of credit cards pay in similar situations using different cards. Then we’d see if and how they change their spending.

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Dear Dan,

I work with many entrepreneurs in their early innovation stage and am always intrigued by the strong (irrational) attachment they develop to their idea, often leading to their being blind to reality and to wasting time and money. How quickly do we get irrationally attached to our ideas? Is it based on elapsed time or on specific actions we take (such as presenting the idea to others)? What can be done to cure this?

—Omer 

The problem, of course, is not just with entrepreneurs. From time to time we all experience someone in a meeting who says something random, and not particularly smart, but then insists that we follow up on his or her brilliant suggestion.

A few years ago, Daniel Mochon, Mike Norton and I conducted experiments about what we called “the IKEA effect”: As the instructions to build something become more challenging and complex, we love even more what we have created. We also showed that this effect takes place rather quickly. In perhaps the most interesting and irrational part of the whole story, we found out that we also mistakenly think other people will share in our excitement over our inferior creations.

What can we do about this? We could try to create an environment where ownership is less powerful or less associated with particular individuals. But if we manage to reduce or eliminate the feeling of ownership, are we also eliminating commitment and motivation? Maybe we should try to increase this sort of proprietary attachment. (And by the way, now that I have finished, I love my answer and think that it is very insightful.)

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Dear Dan,

After I’ve bought an expensive or limited-edition scotch, I worry about drinking the bottle too quickly or being unable to find more once it’s gone. So partly opened bottles in my closet keep accumulating. Any advice on how to enjoy my scotch rather than hoarding it?

—Jonathan 

The problem with hoarding (collecting) is thinking about it as one decision at a time. I would either try to think about such questions from a broader perspective (“Would I be interested in getting 24 more bottles?”) or set up a rule for the number of bottles that you can have in your house at one time (let’s say 10). Then you’d have to finish a bottle or give it away before you acquire another.

See the original article in the Wall Street Journal here.

Ask Ariely: On Sealed Bids, Netflix, and Laughing at Your Own Jokes

May 11, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

My parents are about to put their house on the market in Scotland, where there’s a system of setting an asking price and having interested parties make sealed bids. Any advice on how to get the highest sale price?

—Moses 

In auctions there are usually two forces: what people think the starting price of a house should be and how intense the competition gets between the bidders over time. Establishing a starting price for the bidding, it turns out, has an opposite effect on these forces.

If you set a high starting price, there’s a good chance that people will start thinking about the house from that point and offer a higher bid. On the other hand, if you set a low starting price, more people will get into the auction, the competition will be fiercer—and the outcome is likely to be a higher final price. (By the way, have you noticed that in auctions—on eBay, for example—the person who pays for the item at the end of the auction is called “the winner”? This suggests that competition is indeed a very strong driver.)

So if you have a sealed-bid auction in which people can submit a bid only once, go with a high starting price. But if there are multiple rounds of bidding, think of the starting price as a lure for getting many bidders involved at the get-go.

Last week I met with a friend in San Francisco (let’s call him JC) who is house-hunting. He said that the houses he has bid for sold for about 30% to 40% more than the asking prices. The competition has been intense, the process very frustrating, which brings me to a final point: A bidding frenzy might be good for a seller, but since we are all going to be buyers and sellers at some point, it’s not clear that the overall market for housing is better off with this procedure.

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Dear Dan,

I am a longtime Netflix customer. Recently, Netflix removed about 1,800 movies from its service, while adding a few very good ones. I know I probably never would have watched those 1,800 movies, but I am upset and am seriously considering leaving Netflix. Why do I feel this way?

—Kristine

As a movie man myself, I appreciate your perspective. The basic principle at work here is loss aversion: the idea that losing something has a stronger emotional impact than gaining something of the same value. Even though the deleted movies were probably not that great and the current library of Netflix may be, objectively, much better, having movies taken away from you feels like a painful loss.

One way to think about this is to contrast new and old Netflix users. A new one would just look at the overall quality of the movie collection, which may be better than it used to be. For the old user, however, the current collection is just one part of the experience, while the loss of all those movies is another. As a result, the longtime member may be much less happy.

My suggestion is for you to try thinking about Netflix as a service that provides you not with particular movies but with an optimal, curated variety of films. Compare it to a museum: We don’t think of ourselves as owning any of the art, so we aren’t upset when it changes what’s on view from its collection. If you can reframe your perspective this way, my guess is that you will enjoy Netflix more.

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Dear Dan,

A friend once chided me for laughing at my own joke. Is it wrong to laugh at your own jokes? After all, would I tell a joke that I didn’t think was funny?

—Norma 

Jokes often hinge on a surprise ending, so laughing at a joke though you know the end seems to be a great endorsement for it (please send me the joke!). The only negative connotation I can imagine is that maybe your friend assumed the laughter was not genuine and you were trying to manipulate her into a higher level of enjoyment. In that case, you might want to look for a different friend.

See the original article in the Wall Street Journal here.

Ask Ariely: On Stealing Seats, Telecommuting, and Saving for Retirement

March 30, 2013 BY danariely

Here’s my Q&A column from the WSJ this week  and if you have any questions for me, you can tweet them to @danariely with the hashtag #askariely, post a comment on my Ask Ariely Facebook page, or email them to AskAriely@wsj.com.

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Dear Dan,

I am writing to you from a train in Germany, sitting on the floor. The train is crowded, and all the seats are taken. However, there is a special class of “comfort customers” who can make those already seated give up their seats. This status is given to those (like me) who travel a lot on the train. It would be nice to get a seat and, according to the rules, I deserve one. But I can’t see myself asking one of the “non-comfort customers” to give up his seat. Why is this so difficult for me?

—Frederick

Your question has to do with what we call the “identifiable victim effect.” The basic idea is that when we see one person in need, our hearts go out to them—we care and we help. But when the problem is very large or far away, or we don’t see the person who is suffering, we don’t care to the same degree—and we don’t help.

In your case, I suspect that if the train conductor were the one picking a random passenger to clear a seat for you—and especially if the conductor did it before you boarded the train—you would have been able to enjoy the seat. Taking this a step further, if you knew who that person was (for example, if the conductor pointed him or her out), you would have felt worse. Picking the person yourself is most likely the most difficult, because you would have no choice but to see the effect of your actions on the other person, as well as his or her reaction.

What’s the lesson here? It’s that direct contact with other people makes us care and act accordingly. And when the distance is great, or the actions are taken without our knowledge, we care much less. Now the question is how to get politicians, bankers, CEOs and everyone else to feel more directly the consequences of our actions on the well-being of others.

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Dear Dan,

I work for a government agency that is in the early stages of making telecommuting an option for its workforce. The idea is generating a lot of distrust among managers, and Yahoo, of course, just cracked down in this area. I know that managers are supposed to trust their workers, but it seems obvious that employees will work less from home. What is your take on working from home?

—Julisa

There are lots of possible reasons for the recent decision at Yahoo—some benevolent and some malevolent. Let me focus here on just two of them: work and attention. In terms of expected hours, those who work in an office are exposed to two different standards: the 40-hours-a-week official standard and the standard that is set by the people around them. We all know, for instance, that the social standard in the high-tech industry is much higher than the official 40 hours a week. In such cases, people who work in the office will conform to the social standard and work many more hours. For those who work from home, the 40-hour workweek is going to be a highly salient reference, and accordingly they are likely to adopt this as a reasonable commitment to work.

In terms of attention to the work, my own experience tells me that when people are together in the same room, they pay attention and focus on the task at hand with much of their cognitive capacity. But when people are at a remote site, participating via phone or video conferencing, they are not fully engaged and in many cases they even try (unsuccessfully) to multitask during important meetings.

My mother, by the way, always knows when I try to multitask while talking to her, so maybe Yahoo should hire her to monitor their online conferences and to reprimand those who aren’t focusing sufficiently.

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Dear Dan,

What is the best way to make sure Americans have sufficient funds for retirement?

—Ben

There are basically two ways to help people have enough money for retirement: getting them to save more and getting them to die younger. The easier one by far is getting people to die younger. How might you achieve this? By allowing the citizens to smoke, subsidizing sugary and fatty foods, and making it hard for them to get access to preventative health care. But, when you think about this, it seems like we’re already doing most of what we can on this front.

See the original article in the Wall Street Journal here.