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Although as a species of "Humans" we are not irrational there is a body of behavioural research that makes substantiated claims that they need help to make more accurate judgements and better decisions. Good governance with its far-reaching policies (usually 'rested' within institutions) are best suited for this role because they have been set up to think more slowly and have the power - democratically invested by society (a collection of Humans) - to impose orderly well thought out procedures. However, the argument too, is the world of corporate affairs (associated with greed and the profit motive) can avail of the same influence of design management to maximise utility and create outcomes that are in the best interest of its consumers. Thus achieving resonance in what is meaningful for "its people", and what is profitable.
So it would seem this book has unleashed a wholesale trend to shift attitudes through "nudging" cognitive biases in a preferable direction (e.g. the default bias) via the application of good design rather than for a legacy goal of traditional exploitation. The authors propose the real challenge in the 21st century is in solving the human problem, not the technical one, and as Steve Jobs once firmly advocated - people want to be surprised and delighted, and good design is actionable: "it just does and you know it when it happens."
How much of this delight can be firmly attributable to UX (user experience) driven via commerciality - and therefore manipulation (at least of sorts), and how much to human benefit thinking that provides by default competitive advantage, is a rather moot point? Harder still is to reconcile the relationship between choice architecture and shaping and shifting attitudes. It is a tenuous and complex one at best to define the form of product, create a user experience or communicate brand values, that is purely altruistic?
Therefore the subject of the choice architecture described in this book sits very squarely in an ethical framework. What Nudge focuses on are the positive outcomes that align to our values and beliefs, named as self-reliance, life-long learning, timelessness, happiness, citizen engagement, liberty, cross-cultural empathy, promoting mastery, social inclusion, dignity, autonomy, universal access, health and well being.
However, this rather beneficent view in improving lives by service design and good governance is an anathema to the more libertarian-minded, such as for a species of "Econs" at the Chicago School of Economics, who states that people should be free to choose their own mistakes - unless they harm others - so that the market can purely self-regulate. Any tinkering from the outside world, so the theory goes, reduce the overall efficiency in the allocation of scarce resources and effectiveness in feeding back the necessary hard knocks of life, or put rather cynically - the world needs 'suckers' to channel wealth.
Nudge attempts to address this dilemma by presenting a solution of helping people make good decisions without curtailing their freedom. It does this by capitalising on our growing understanding of persuasive techniques taken from the emerging sciences of behavioural/ neuroeconomics and cognitive psychology. The idea of 'libertarian paternalism' (i.e. 'compassionate capitalism') is at the heart of the movement and is not viewed as an infringement upon any freedom of choice ('neoliberalism'). It allows considerate shapers to look out for peoples' best interests. For instance, UK employees of a younger age but earning above a certain threshold are now required by law to opt-in to a pension scheme 'by default'. This is considered to be for 'everyone's' advantage - not the least for those at the opposite end of retirement. By employing choice architecture in the setting up of default opt-outs rather than opt-ins the State is acting like your mum and dad who have your best interests at heart. To go against their best wishes requires effort and it is this focus on the power of the default and the effort or positive intention required to force a change from the norm that choice architects use to construct the presentation of their decisions points.
However, there is a slippery side to choice architecture, alluded to in my introduction, in the way information is framed which leaves Humans susceptible to manipulation. Unscrupulous firms can obfuscate the true nature of the choice with complex language and small print. Hence, possibly consider the polite nudge of the default position of thoughtful administration as the antithesis of running the gauntlet of commercially orientated choices and options - the ones that want to extract your money. These can be sometimes slightly bewildering and in the world of internet marketing are the electronic equivalent of a pushy salesperson. When making a booking on a Ryan Air flight, for example, it might be wondered why certain screens pop up like an annoying bug? Ryan Air with its over-reliance on the default bias was recently voted the worst brand for customer service. This is partly due to a low-cost infrastructure business mode no doubt, though it cannot go unnoticed that such a model has become at the expense of customer satisfaction - where quality value resides (rather than cost value).
Ironically then, after the infuriating process of working one's energies against "the system" of corporate companies, there is a commonality between the experience of private economics and the bureaucracy of government - which might be the real delight! In merging these two worlds - in a somewhat paradigmatic shift - the main thrust of Nudge economics is to move the free line of vested interests towards the citizen's well being and shared ethical framework. In a certain way, this is demonstrated in the freemium model of business economics that has been revolutionising internet trade.
However, if Nudge economics is to counter the skim, scam and intentionally neglectful "priming" of the tawdry sometimes witnessed in commercialism it will have to not only make inroads into public sector think tanks but also change the way hard-nosed business is conducted per se (rather than service economies). This will not suit certain sensibilities promulgated by certain political tribes, and that makes the concept of Nudge a rather special proposition. 'Nudge' IS very grey-matter provoking and has no doubt become influential for this reason, especially in centre-ground politics. It also seems to have a wide political spectrum and must be congratulated at getting to the heart of the private-public debate which rages amongst and within western democratic market economies.
On this note a couple of closing remarks that suggest my alternative realities may not go amiss:
a) A question for the most capitalised energy market in Europe?: instead of the 'switch if you want to but this lady is not for switching you model unless you tell us' doled out by energy companies each year, what if our inexorable winter price rise change-over to save money on fuel is carried out for the consumer instead? Also, in the moral interests of libertarian paternalism, if such a request cannot be achieved for the majority, why not for those who are financially vulnerable?
b) What if the freemium model of a modest free service can become a basic model spooned-up by local councils; and for those who want to be "nudged further," they would have to pay more?
In these changing times where within the UK the dominant ideology is to shrink the public sector as the traditional bastion of service mindedness, this book does provide an alternative take on the notion of how to address the public good in the world of economics and public administration. For this reason alone it is seminal work and what's more a very valuable read.
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Book was in good condition and arrived safe!
Book is secondhand so I was not expecting it to be perfect but still in very good condition! The main issue was delivery & how long it took, which was quite a long time, to vet a week, how ever I’m still very happy as I paid a lot less compared to a new book.
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- Review GuyReviewed in the United States on 19 April 2008
Social engineering that obeys the laws of physics.
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- Samuel BorralhoReviewed in Spain on 11 October 2018
Fast pace delivering and item as ordered
Format: PaperbackVerified Purchase - Ram NarayananReviewed in India on 8 July 2020
Must read for architects, designers and product managers
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