Upside of Irrationality Chapter 1: Paying More for Less

[cyborganic99]

traditional economist hate behavioral economics but i love it. choosing to ignore something because it defies the assumption that traditional economics has based all its practices on (that everyone is rational) is in itself irrational

[CNETZebur]

@ jakejones111, That's a good idea. I hope someone builds an experiment from it.

[rapn21]

Absolutely brillant. Completely turns traditional economics on its head. Makes me think about economics in a whole new way

[jakejones111]

Could your findings only hold true in the short run?

Hypothesis: Over the long run, incentives for high performance may increase learning and training. Thus, they could increase performance, even in cognitive tasks.

e.g. Professional athletes, medical and law students, etc.

[t0y2610]

This is really interesting. A few weeks ago, before a Champions League game between FC Barcelona and Shakhtar Donetsk , the owner of the Ukrainian club offered the players a bonus to win the match.

The size of the bonus was the one that was actually impressive. 1 million Euros/ player! That was for most of the players more than what they earned per year. The outcome? They lost the game 5 goals to 1.

But based on what you;re saying here it appears that football/soccer it's a mental task ...

[Sporin47]

Loving this series of video! Thanks, Dan!