Economics in One Lesson by Henry Hazlitt and Uncommon Sense: Economic Insights, from Marriage to Terrorism by Becker and Posner
The author is definitely the advocate for free market and Laissez-faire type of economy where there is minimal intervention from the government. Throughout the book, the author held government and its policies responsible for all the financial mess we are in right now.
In accordance with author's premise financial deficit, extravagant tax burden, minimum wages laws, government sponsored inflation, tarrifs and Keynesian theory is responsible for troublesome and uncertain era we live in.
Though few of his ideas are very compelling and to the point , however, I feel author gets too tough on government and Keynes that he negates and dismisses all other theories and ideas which are indeed important going forward.
Through out the book both the authors put up their unique perspective on issues and problems which are highly debatable and have no clear answers. I must admit few of solutions suggested by authors are very innovative and can be clear answer to those problems.
Beginning chapters are monotonous but once you move to later section it gets interesting and appealing.
Becker and Posner blog- http://www.becker-posner-blog.com/
Posted by Enigma at 3:05 AM
If the situation is complex and involves lots of choices and options then use your conscious mind to acquire all the information you need for making a decision. But don't try to analyse the information with your conscious mind (rational thinking). Instead distract yourself by engaging yourself in something else or take a break while your unconscious mind digest it. Whatever your intuition or instinct then tells you is most certainly going to be the best decision or choice.
On the other hand If the decision is trivial or doesn't involve much choices and complexity then it can be handled through logic and taking all variable (options) into account.
The gist is when the situation is complex and involve lot of choices (variables), its better not to think much about it and go by your instinct. And If the situation is simple and doesn't involve much choices then its better to make informed decision rather than rely on instinct (emotions).
Well it does sound bizarre But let me assure its worth give a try.
Another thing which particularly grabbed my attention is concept of "Loss Aversion". It is a mental defect which we all suffer from. We get so determined to avoid any option associated with loss that we are willing to risk lose everything. The thought of loss can be really dangerous and can trigger a dangerous set of feelings where you find yourself taking risk your probably shouldn't take. At such times it is always better to think or take a break before making a decision.
At last Jonah Lehrer word of advice, The best way to make sure that you are using your brain properly is to study your brain at work, to listen to the arguments inside your head. whether these arguments are repulsive or antagonistic to what you believe. still let them have a say. Then only you can make a better and informed decision.
I highly recommend this book to all who want to know how conditioning of brain can help them in making better decisions.
Posted by Enigma at 12:57 PM