EconTalk

Don Cox on the Economics of Parenting

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Mar 16, 2006
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ANECDOTE

Cake At The Party

  • Don Cox watched a parent try to force a toddler to eat cake at a birthday party and found it puzzling.
  • He used the moment to think how simple economic ideas explain parenting choices.
INSIGHT

Incentive Compatibility Works With Toddlers

  • Cox introduces 'incentive compatibility' as setting rules so children choose the parent's desired option.
  • He demonstrates it by carrying the child to make dressing warmly the child's best choice.
ADVICE

Don't Ask, Just Tell

  • Don't ask kids for choices when you already decided the plan; tell them instead.
  • Reduce false choices to avoid tantrums and cognitive dissonance.
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