Nudge – by Thaler & Sunstein
Nudge deals with the manner in which choices are constructed and presented to us as both consumers and citizens. Examples as diverse as the display of cafeteria meals to organ donation decisions are used to illustrate the effects of ‘choice architecture’ (the design of the context in which choices are presented) on our behaviour. Thaler & Sunstein use the book to promote a new paradigm in relation to choice architecture – ‘libertarian paternalism’. Essentially, this boils down to allowing people freedom of choice (that would be the libertarian part) whilst at the same time attempting to ‘steer people’s choices in directions that will improve their lives’ (and this would be the paternalism/’nudge’ bit). ‘Paternalism’ may be looked upon suspiciously by some but when modified by ‘libertarian’ the term very much slips clear of the more insidious Orwellian 1984-esque connotations. ‘Big Brother’ (in the form of corporations and government) does play a leading role under this system but it is a much fluffier, more cuddly, caring, sharing Big Bro than Orwell’s creation.
Thaler & Sunstein have put together some well-reasoned arguments for their system to be adopted in a number of instances. One example in particular could be of huge benefit to society in terms of saving lives. The authors propose that organ donations (from the deceased) should be opt-out as opposed to opt-in decisions i.e. presumed consent should replace the need for explicit consent as the default option in such scenarios. This is undoubtedly an emotive and divisive issue but the authors highlight some pretty convincing stats to support their stance.
The book falls into a similar sub-category as books such as Malcolm Gladwell’s Tipping Point and Outliers and Levitt and Dubner’s Freakonomics and, by and large, holds its own. It doesn’t, however, quite grab and maintain one’s attention in the same way as these peers. The amusing anecdotes which permeate Gladwell’s work are largely missing from Nudge. Some parts of the book I found myself speed-reading through. The section on prescription drugs especially kind of made me feel as though I may need some to maintain my concentration. To be fair though, the number of sections where I wanted to just put my mind on auto-pilot and glide through were few and far between and the book’s pros outweigh its cons and if you’re looking to add to your behavioural economics library this is a worthy enough edition. If you’re in virgin territory, I’d suggest getting your hands on one of Gladwell’s tomes to get you started.
