Title: Predictably Irrational - Wikipedia
Headings: Predictably Irrational
Predictably Irrational
Contents
Chapter summary
The Truth about Relativity
The Fallacy of Supply and Demand
The Cost of Zero Cost
Being Paid vs. A Friendly Favor
Emotion in Decision Making
The Problem of Procrastination and Self-control
The High Price of Ownership
The Effect of Expectations
The Power of Placebo
Reception
See also
Notes
References
External links

Content: We could have been doing something else at that time. Ultimately, he demonstrates how such a simple concept can be used to drive business and social policy. For example, to reduce health cost, companies could offer free regular checks. Employees would be more willing to get them at zero cost rather than paying some amount of money. Ariely recommends the consideration of the net benefits of the choices we make regarding both preference and money. Perhaps we would get the better deal and even save money if we did not react to free the way we do. Being Paid vs. A Friendly Favor
In chapters 4 and 5, Ariely speaks in great detail of the differences between social norms—which include friendly requests with instant payback not being required—and market norms—which account for wages, prices, rents, cost benefits, and repayment being essential. He also explains how combining the two can create troubling situations. The author comments that people are happy to do things occasionally when they are not paid for them. In fact there are some situations in which work output is negatively affected by payment of small amounts of money.