DAN ARIELY

Updates

Ask Ariely: On Honesty with Asperger’s, Adequate Achievements, and Favorable Futures

September 6, 2016 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 19-year-old son has Asperger’s syndrome and is incapable of lying. He tends to see the world in absolutes and struggles with white lies. We have urged him to sometimes compliment people to spare their feelings, but he thinks it’s important to be brutally honest. He says, “What if you praise somebody’s ugly drawing and they then try a career as an artist? Why tell somebody that their new haircut looks great when you could warn them that they will be teased about it?” Have you looked into the ways that dishonesty may be different for those on the autism spectrum?

—Bill 

I wrote a book about dishonesty and lecture frequently about it. Over the years, many parents have come to me after a talk to tell me about children who just can’t lie—and the children usually turn out to have some form of autism. Recently, I brought this up with Murali Doraiswamy, a professor of psychiatry and behavioral sciences at Duke University, who confirmed that many children on the autism spectrum do indeed have a hard time being untruthful.

This is caused, he added, by the trouble they have with what specialists in the field call “theory of mind”—that is, the basic ability to put ourselves in somebody else’s shoes and empathize with their perspective. Most of us are able to ask ourselves, “How would that person feel if I told them that their haircut is unflattering or that they smell?” Many young people with Asperger’s don’t tend to think this way, so they often don’t develop the habit of telling white lies for reasons of politeness. They don’t learn to dial down unnecessarily hurtful truths to spare another person’s feelings.

My view is that social politeness often acts as training wheels for more serious lying, so children who don’t understand white lies often don’t develop the ability to lie on a larger scale—which may not be such a bad thing. Maybe we should try a president who has Asperger’s?

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Dear Dan,

If human beings were tools, which tools would we be?

—Kelly 

The best analogy for describing human nature is a Swiss Army knife.

First, it is useful for many different tasks. Second, the Swiss Army knife gives us a lot of tools, but none of them (no offense to the Swiss) are that great. The knife is small; the screwdriver is hard to use; the can opener is OK but time-consuming to operate. And third, everything we do with a Swiss Army knife takes some time—we have to figure out which tool we want, find it, dig our nails into its little notch and yank out the desired tool.

Together, these features echo human nature: We aren’t really ideal for anything and can be a bit slow to get going, but we can do a decent job on many different challenges.

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Dear Dan,

What is the most important attribute to look for in a long-term romantic partner?

—Ed 

Low expectations. Much of our happiness depends on relativity—on comparing what we have with what we expected to have. In long-term relationships, we’re bound to be disappointed at some point. But if we adjusted our expectations, we might be pleasantly surprised from time to time.

See the original article in the Wall Street Journal here.

Ask Ariely: On Fun Money, Santa, and Feeling Old

June 20, 2015 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, both over 60, have retired from careers in government service, with good retirement funds plus a decent monthly pension. When they were young, they faced a lot of financial difficulties, so over the years, they have turned into misers. They don’t go on holidays, dine out or indulge in any way; they buy substandard groceries, take public transportation to save on gas and fret over even petty expenses. I want them to enjoy the rest of their lives without such worries. What should I do to change their behavior regarding money.

—Vivek

Your parents’ problem comes bundled with substantial benefits. Saving early in life and living modestly are key to a healthy retirement, and I wish that more people in the U.S. behaved this way. You probably owe much of your own financial well-being and your mind-set toward money to this exemplary behavior.

That said, now that your parents are comfortable, it would be good if they were able to enjoy life to a higher degree. If I were you, I would sit with them and go over their monthly balance sheet to try to figure out how much money is coming in every month and how much they are spending on necessities.

With these numbers in hand, I would look at how much extra income they have every month—and call these funds “fun money.” Next, I would get them two prepaid debit cards and set up an automatic monthly transfer of the fun money from their checking account to the cards. In this way, the fun money will be set aside from the beginning, with a different physical identity and declared purpose—a little like chips in a casino. If you want to further drive the point home, put large red stickers on the cards and write “Fun” on them.

Finally, for the first few months, you could go over the statements with them to make sure that they are indeed spending the money in ways that make them happy.

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Dear Dan,

Do you think it’s acceptable for parents (and society in general) to lie to young children about the existence of Santa? I don’t, but I seem to be in the minority.

—Charlotte

My research center recently completed a documentary on dishonesty in which we interviewed individuals who had committed misdeeds, from insider trading to doping to infidelity. Many people, we found, take one wrong step, then rationalize it, then take another—and soon they’re on a slippery slope.

All of which is to say: It is wrong to lie to kids about Santa. You might start with a fib about Santa, but next it could be the Tooth Fairy, and after that, maybe it’s Superman, the Avengers and who knows what else.

More seriously: Your children will find out at some point, and when they do, it could cause a loss of trust that could be very unhealthy.

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Dear Dan,

When I was a teenager and my parents were in their 40s, they seemed old to me. Now I am almost 40, and I still feel young. Is it true that we stay young for longer these days? In the 21st century, when do people start feeling old?

—Nina

Despite our amazing advances, we don’t stay young for longer. The difference is your perspective. We look at ourselves as the standard, paying less attention to differences that we consider positive and overemphasizing ones we see as negative. As for your question about when we start feeling old, that’s simple: We start feeling old when we look forward more to a good night’s sleep than to a night of passion.

See the original article in the Wall Street Journal here.

Ask Ariely: On Risky Questionnaires, Great Expectations, and Victims of Piracy

May 23, 2015 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.

This week, in celebration of my new book Irrationally Yours (which is based on this column), I’d like to share some feedback that I received from a reader. Please enjoy the video.

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Dear Dan,

I am ready to start investing for my retirement, but I’m struggling with those risk questionnaires. I’m not sure that I really know any of the answers. The results show that I’m somewhat conservative, but I don’t trust their conclusions. Any advice? 

—Rick

Deciding how much risk to stomach in your investment plans is a huge decision that will have a major impact on your savings and ability to retire. AND I don’t think you should base that big decision on your response to some risk-assessment questionnaire. The questions in most of these risk-attitude-assessment tools are about feelings, but you should focus on how much money you’ll need to retire and the quality of life you would have under different investment scenarios. Let’s just assume that you hate the feeling of losing. So what? Should we doom you to a life of poverty just because you feel bad when you lose money? My advice: Figure out how your life might look like with various investment approaches, figure out which tradeoffs you are (and aren’t) willing to make and plan your investments accordingly. Meanwhile, you can deal with your fear of risk directly. Learn yoga, meditate, take some medication, avoid looking at your portfolio more than twice a year—do whatever you need to deal with your emotions, but make sure that doesn’t interfere with the way you decide to invest.

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Dear Dan,

The other day, I ordered a new drink, a “London Fog tea latte,” at a local café. It arrived on the counter in a porcelain teacup with a saucer, and four lavender seeds were arranged in a fleur-de-lis at the center of the froth. The barista gave me a bestowing nod. It was the best tea latte I’d ever tasted; I found myself saying “Mmm” before the cup even reached my lips. Do our expectations actually affect how things taste to us? 

—Chelsea 

For sure. In an experiment we conducted about ten years ago at MIT, we gave the students two small beer samples and asked them to pick the one they wanted a full glass of. One sample was just plain beer, but the other sample was a regular beer plus some balsamic vinegar. We didn’t tell some students about the special ingredient, and they liked the beer with the dark additive. But when we told our tasters about the vinegar, their expectations kicked in; they expected to hate it and sure enough, they did. Such results show that expectations do indeed change what we like. More important, they show us that expectations are a fascinating interplay between our brain and our mind. We are always trying to predict the future and prepare for it. As our body changes to accommodate to the anticipated experience, it also makes those anticipations more likely to materialize. This is why expectations can change our actual experience—and why we should embrace them as much as we can. (My next answer, by the way, is going to be particularly insightful. Wait 30 seconds, and read on.)

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Dear Dan,

My nephew has been downloading music and movies illegally from the Internet. How can I get him to respect intellectual-property rights without sounding self-righteous? 

—Patricia 

My own view on illegal downloads was deeply modified the day that my book on dishonesty was published—when I learned that it had been illegally downloaded more than 20,000 times from one website. (The irony did not escape me.) My advice? Get your nephew to create something and then, without him knowing, put it online and download it many, many times. I suspect that will make it much harder for him to keep up his blithe attitude toward piracy.

See the original article in the Wall Street Journal here.

Ask Ariely: On Ephemeral Emotions, Getting Gadgets, and Treacherous Taxes

April 12, 2015 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,

Every time a severe natural disaster strikes, like a typhoon or the outbreak of a new epidemic, everyone starts talking about how to combat these problems, but all the chatter dies down in a week or two. Given the importance of these issues and the number of lives they affect, why do we have such short-term memories? And how do you keep up interest in topics like these?

—Akhil

The problem isn’t with memory—it is with emotions. Every time we see those televised images of disaster, our emotions get ignited, we care, and we want to act. But over time, our emotions inevitably subside, and we stop caring.

If the problem here just had to do with memory, finding a fix would be simple: We have plenty of ways to remind people about important things they forgot. But we don’t know how to fully re-invoke emotions.

So what can we do? I’d suggest crafting legislation to deal with such crises in advance, then just holding onto it until the next disaster strikes. Then, while emotions are running high, take the bill out of the drawer and try to get people to commit to some concrete steps forward.

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Dear Dan,

What should I know about a product before I buy it?

—Pat

When we look for a product—say, a new electronic gadget—we usually try to understand exactly what it does, how it works, what are its features, etc. We hope this will help us figure out if the product is right for us and worth all that money. The downside of this approach is that the knowledge it provides often reduces the fun, surprise and discovery that come with experimenting with a new electronic gizmo.

Ideally, someone would be able to tell us whether we should get the product or not, while leaving us to discover our new gadget’s capabilities after we’re holding it. Another advantage to this approach: It leaves us to enjoy more buildup and anticipation as we wait for the gadget to arrive.

When I was looking for a new camera, I asked my friend David (my personal expert on everything technological) what he thought I should get, and I purchased the exact camera he suggested without even checking the details. Then I started anticipating its arrival, and I enjoyed learning all about it by playing with it after it was delivered. Maybe you should try to get your own David.

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Dear Dan,

What percent of Americans cheat on their taxes?

—Lee

I’m not sure, but it’s clearly a large amount: Pew Research estimated that the IRS lost about $270 billion dollars for tax “underreporting” in 2010. I tend to agree with Will Rogers, who once said, “The income tax has made liars out of more Americans than golf.”

Taxes don’t just tempt many Americans to cheat. They also kill us. A 2012 paper by Donald Redelmeier and Christopher Yarnell published in the Journal of The American Medical Association found that over the past 30 years, fatal accidents increase by about 6% on April 15 compared to standard days. The authors chalk this up to stress. They also show that this increase doesn’t hold for people at retirement age (who, presumably, aren’t that stressed about taxes), has increased over time (suggesting we’ve been under more stress as U.S. taxes have grown more complex) and is particularly large for those of us on the West Coast (where state taxes are particularly high).

Of course, these two findings—increased dishonesty and increased stress—could be linked. So this tax season, please try to be safe when filling out and delivering your 1040s.

 

See the original article in the Wall Street Journal here. (add link to “here” and delete this)

The Seinfeld Rules of Lies

April 30, 2014 BY danariely

Seinfeld is one of the most popular American TV shows, created by Larry David and Jerry Seinfeld. In one episode, George Costanza, the best friend of the main character, offered some advice about lying—some lies are not technically lies when taking into account the specific situation. Here is George’s list of 14 justified lies:

1. It’s not a lie if you believe it.
2. It’s not a lie if it doesn’t help you.
3. It’s not a lie if it hurts you.
4. It’s not a lie if it helps someone else.
5. It’s not a lie if it doesn’t hurt someone else.
6. It’s not a lie if everyone expects you to lie.
7. It’s not a lie if the other person knows the truth.
8. It’s not a lie if nobody can prove it.
9. It’s not a lie if you don’t get caught.
10. It’s not a lie if you don’t need to tell another lie to cover it up.
11. It’s not a lie if you were crossing your fingers.
12. It’s not a lie if you proceed to make it true.
13. It’s not a lie if nobody heard you say it.
14. It’s not a lie if nobody cares.

We were interested in whether people agreed with Costanza’s point of view. Do they justify these 14 behaviors? Do they believe lies are not technically lies if you don’t believe them, they don’t help you, and so on? To test these ideas, we made a short survey and released it through our “Sample Size Matters” App. Users indicated to what extent they agreed with each of George’s statements about lies on a scale of 1 to 7, 1 being strongly disagree and 7 strongly agree.

911 participants completed our survey, and, surprisingly, all of the statements were rated below a 4 (the mid-point of the scale), which means that people on average disagree with Costanza’s point of view. Additionally, the statements with the highest scores were “It is not a lie if you believe it” (mean=3.81) and “It is not a lie if you proceed it to make it true” (mean = 2.98).

Do these results suggest that people disagree with Costanza’s list of justified lies? Not necessarily. Our views about dishonesty may very well change depending on whether we’re the ones being dishonest—perhaps we believe these rules only when trying to justify our dishonesty.

Mazar, Amir and Ariely (2008) put forward a theory of dishonesty—individuals behave dishonestly enough to profit but honestly enough to maintain a sense of their own integrity. This is what they called the ‘self-concept maintenance theory’ and possibly explains Costanza’s rationalization.

At the end of our survey we asked participants to indicate what other situations they wouldn’t consider lying, and they came up with a lot of creative suggestions such as “It is not a lie if you miss the important details”, “It is not a lie if it is a joke or an irony”, “It is not a lie if it makes someone happy” and “It is not a lie if your salary or job depends on it.” Everyone could come up with at least one or two lies that are justified! Can you?

~Ximena Garcia Rada~

References
Mazar, N., Amir, O., & Ariely, D. (2008). The dishonesty of honest people: A theory of self-concept maintenance. Journal of marketing research, 45(6), 633-644.

 

$100,000 and 1,733 of you

April 9, 2014 BY danariely

I’m thrilled to announce that we’ve made it to 100k just in time for the halfway point of the 60-day kickstarter campaign for my documentary-in-progress, (Dis)Honesty: The Truth About Lies. Please help spread the word to keep this amazing community growing.

 

dishonestyproj 100k

 

See the Kickstarter here: https://bitly.com/dishonestykickstarter

(Dis)Honestly Yours,

Dan

A Pot’o’Gold for St. Patrick’s Day

March 17, 2014 BY danariely

A Documentary about (Dis)Honesty

March 11, 2014 BY danariely

It is my greatest pleasure to announce a documentary that I have been working on with Yael Melamede of Salty Features.

Dishonesty - The Truth About Lies

Today, we launch a Kickstarter campaign that will help us finish the film and build its presence in the world.

[protected-iframe id=”0c35872a2195114e20aa1c3cbc1f5c0b-1285065-1348005″ info=”https://www.kickstarter.com/projects/1501481976/dishonesty-a-documentary-feature-film/widget/video.html” width=”480″ height=”360″ frameborder=”0″ scrolling=”no”]

Please visit our Kickstarter Page to learn more about (Dis)Honesty and to become part of this special project.

Then, share the project with all your family members, closest friends, acquaintances, the cashier at your local grocery store, that guy you bumped into on the way to work, the lady whose wallet you found on the street and returned…everyone!

Thank you for your support, and I look forward to working with you along the way.

(Dis)honestly Yours,

Dan Ariely

P.S. Like The Dishonesty Project on Facebook!

And follow on Twitter: https://twitter.com/dishonestyproj

“A Beginner’s Guide to Irrational Behavior,” Take 2

February 27, 2014 BY danariely

You make decisions all the time. What should you eat for breakfast? Which route should you take to work? How much are you willing to pay for local, pasture-raised beef over factory farmed, corn-fed meat? Should you go for a run, jog, walk, or finish watching the last season of Breaking Bad?

Some of these decisions might be great, while others … not so much. For example, take the mind-boggling case of someone winning a chess championship one minute and texting while driving the next. Playing chess (competently, at least) requires thinking many steps ahead, considering multiple scenarios and outcomes — whereas texting while driving is a complete and utter failure of the same kind of forward-thinking. The gap between how amazing we are in some respects and completely inept in others just highlights the invaluable nature of studying how humans think and interact with the world.

So, when do we make good decisions, and when and why do we fail? Fortunately, behavioral economics does have some answers. In “A Beginner’s Guide to Irrational Behavior,” you will learn about some of the many ways in which we behave in less than rational ways, and how we might overcome some of our shortcomings. You’ll also find cases where our irrationalities work in our favor, and how we can harness these tendencies to make better decisions.

You will explore topics such as our “irrational” patterns of thinking about money and investments, how expectations shape perception, economic and psychological analyses of dishonesty by honest people, how social and financial incentives work together (or against each other) in labor, how self-control comes into play with decision making, and how emotion (rather than cognition) can have a large impact on economic decisions.

All of this, packed into just 8 weeks! Join our modern crusade to improve decision making, and hopefully learn some things on the way. Sign up now (class starts on March 11th): https://www.coursera.org/course/behavioralecon

Irrationally Yours,

Dan Ariely

Ask Ariely: On Squirrels, the Value of Education, and Quarterly Appraisals

February 1, 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,

I find myself acting irrationally when it comes to squirrels. The rascals climb down a branch and onto my bird feeder, where they hang and eat like limber little pigs. Then I rush outside yelling and take great pleasure in frightening them away. But victory never lasts long. They come right back, and the whole insane cycle starts over. My sister tells me I need to watch “Snow White” again, to be reminded that squirrels are also a part of nature and not inherently worse than the birds I prefer. Perhaps, but this theory doesn’t satisfy me. Can you help to explain what’s going on with my reasoning, and how I might make peace with the furry marauders in my yard?

—Nearly Elmer Fudd

It sounds to me that the root of your problem is that you view the squirrels’ behavior as an immoral theft from the right owners of this food, the birds. If so, why don’t you start calling the contraption a “squirrel and bird feeder”? With this new framing, your problems should go away, and you might even be able to market this new product.

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Dear Dan,

Do you think that colleges should continue teaching subjects like philosophy, sociology and literature? After all, they’re a waste of time and money.

—Clara

With something like computer science or statistics, we find it easy to assess what skills we will acquire and how we will use them in a practical way. But with sociology, literature or even psychology, it is not always exactly clear how our studies are going to change us. Are we going to learn how to think analytically or see things differently? And how valuable are these skills anyway?

Maybe it is worthwhile to think about education as a lottery ticket. After all, like a lottery, when it comes to academic education we don’t know exactly what we’re going to get, and we’re not 100% certain that our degree will always justify our investment. But what if for every year of studying you got one really good idea? Or if your education somehow improved your mental capacity by 10%? Think of your education as a lottery ticket that you get to use year after year for the rest of your life. Of course, it is hard to predict what exact benefits you’ll reap from good ideas or an improved mental ability, but if you think about education as a long-term bet, I suspect that you will easily see it as a bet with very high expected payoffs.

P.S. In the interest of full disclosure, I should point out that as someone who teaches for a living, I have a vested interest in students continuing to attend universities. And maybe, in this case, it is hard for me to see the world from a different perspective.

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Dear Dan,

I was talking with a friend about your research on dishonesty, notably the way that people feel free to steal sodas and cookies from the “break room” but not cash. My friend said that office items such as staplers, tape dispensers and so on used to be constantly taken from his desk. He then glued a quarter onto each piece, and no one has taken anything with a coin on it for five years. Does this follow your findings?

—Tony

I love the application of this finding. Now, if we could only glue quarters to stock certificates and other financial products, maybe the world would be a better place.

See the original article in the Wall Street Journal here.