TED Talks Daily

How to change your behavior for the better | Dan Ariely

Nov 18, 2019
Dan Ariely, a behavioral economist renowned for his insights into decision-making and dishonesty, humorously tackles the challenge of changing behavior. He discusses the gap between knowing what’s right and acting on it, highlighting how our environments can be adjusted to promote better choices. Through fascinating experiments, Ariely reveals why even free alternatives like generic medications struggle to sway decisions. He also shares impactful strategies that connect emotions to positive behavioral changes, making the complexities of human decisions both relatable and actionable.
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ANECDOTE

Low Generic Adoption

  • An online pharmacy wanted to switch customers to generic medications.
  • Despite offering free generics for a year, less than 10% of people switched.
INSIGHT

Friction vs. Preference

  • The real obstacle wasn't preference for branded medication, but the friction of returning a letter.
  • Removing that friction by requiring action to stay with branded resulted in a majority switching to generics.
ANECDOTE

The Power of the Coin

  • Researchers tried various incentives, including texts, financial rewards, and loss aversion, to encourage savings in a Kenyan slum.
  • Surprisingly, a coin with marked numbers for scratching to track savings doubled savings rates.
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