Squiggly Careers Podcast #455: The Science Behind Making Better Decisions
Date: January 28, 2025
Hosts: Helen Tupper and Sarah Ellis
Episode Overview
In this episode, Helen and Sarah deep-dive into the science of decision-making, reflecting on Dan Ariely's "Predictably Irrational" (as experienced via the Lit Video Book format). The discussion draws lessons from behavioral economics, exploring why we often make irrational choices and how these insights can be applied personally and professionally. They share moments that surprised them, key ideas that stood out, and tangible actions inspired by Ariely's research.
Key Discussion Points & Insights
1. The Nature of Irrationality in Decision-Making
- Both hosts are struck by how predictable human irrationality is in everyday life and work.
- Helen summarizes the “Arousal” chapter (05:00), where Ariely demonstrates–sometimes uncomfortably–that we make poorer decisions in heightened (“hot”) states versus calmer (“cold”) ones:
“You can be hot for all kinds of reasons… but we don’t make as good decisions when we are in a hot state.”
— Helen (03:03)
2. Market vs. Social Norms
- Helen highlights a memorable experiment about money's corrosive effect on social relationships (see 04:00):
“Money destroys social relationships.”
— Helen (03:51) - Example: Paying family for Thanksgiving dinner feels unnatural, illustrating how introducing market norms (money) into situations governed by social norms (favors) fundamentally changes relationships.
3. Motivated Reasoning & Personal Bias
- Sarah explains “motivated reasoning”–the tendency to see the world through a self-serving lens, affecting how we make choices (06:00):
“We paint the world in the color that we want to see it.”
— Sarah (05:47) - Actionable tip: At work, intentionally seek out “opposite opinions” or put yourself in someone else’s shoes to challenge your default perspective.
4. Short-Term Temptation vs. Future Self
- Helen discusses the importance of considering your “future self” when making decisions (08:45):
“We should make decisions with our future self in mind... I don’t think I do that.”
— Helen (08:41) - They reference research showing how giving in to present temptation leads to negative long-term health and well-being outcomes (09:42).
5. Procrastination & The Power of Structure
- Sarah recounts Ariely’s experiments with student deadlines (11:00):
“The one that is most effective is the dictator one…being super strict.”
— Sarah (12:37) - Three approaches: Dictator (strict deadlines), Coach (guidance and checkpoints), Free Will (full autonomy). The strictest method works best for compliance, though coaching provides a happier medium.
- Helen relates this to workplace processes like feedback collection, noting the value of “freedom within a framework” (14:37).
6. Relativity, Choices & Decoys
- Sarah shares insights from the “relativity and choices” chapter (16:00), referencing the Economist’s subscription experiment as an example of how options influence decision-making:
“Choices are good for people… but it’s helpful for people to have three choices. And what you have probably done, I think, is people go for the one that’s helped by a decoy option.”
— Sarah (16:35) - Application: Offering structured choices at work (e.g., learning options) can nudge people toward productive behavior.
7. Keeping Doors Open (The Danger of Too Many Options)
- Helen is inspired by the “burn the boats” principle (17:40):
“As human beings, we like to keep doors open, but that creates too many options… sometimes you’re better to focus.”
— Helen (17:39) - Action: Close some options to foster clearer, more committed decision-making.
Notable Quotes & Memorable Moments
-
On behavioral economics:
“You're definitely convinced by the end… we are irrational and nowhere near as logical as we think we are.”
— Sarah (01:33) -
On relationships and payment:
“As soon as you bring money into the equation, it can really affect how that relationship is.”
— Helen (04:18) -
On biases:
“Knowing that that perspective is likely to be motivated by your own experiences… ask for an opposite opinion.”
— Sarah (06:20) -
On procrastination:
“The hardness [of a task] wins over the helpfulness of do it now.”
— Sarah (10:58) -
On anchoring and decoy options:
“Some action to learn is better than no action to learn.”
— Sarah (17:15)
Practical Takeaways & Actions
- Sense-check your thinking: Pause to consider a truly opposite perspective before deciding (06:30).
- Make decisions for your future self: Remind yourself of longer-term benefits, not just short-term payoffs (08:45).
- Implement structure with flexibility: Use frameworks that offer a balance between guidance and autonomy (14:37).
- Offer strategic choices: Present options in ways that facilitate constructive decisions (16:35).
- Focus to commit: Proactively close some options to avoid spreading attention and resources too thinly (17:39).
Episode Timestamps for Key Segments
| Segment | Timestamp | |------------------------------------------------|:--------------:| | Introduction & Book Overview | 00:02–02:07 | | Hot State vs. Cold State (Arousal) | 02:55–03:37 | | Money & Social Relationships | 03:51–05:46 | | Motivated Reasoning & Bias | 05:46–08:41 | | Temptation vs. Future Self | 08:41–10:49 | | Procrastination & Deadline Approaches | 10:57–14:37 | | Relativity, Anchoring, and Decoy Options | 15:35–17:39 | | Keeping Doors Open vs. Focusing | 17:39–18:36 | | Reflections & Wrap-up | 18:36–21:27 |
Original Language, Tone & Style
Helen and Sarah’s conversation is accessible, humorous, and candid. They weave personal anecdotes into their reflections, use plain language, and emphasize the practical relevance of ideas. They invite listeners to apply behavioral economics at work and in life, with plenty of light-hearted asides and relatable admissions (“I just ate three chocolate coins…maybe I’ll have a banana next” — Sarah, 10:45).
Summary
This episode is an engaging, practical guide to understanding—and outsmarting—your own irrational tendencies. With relatable stories, memorable experiments, and actionable strategies, Helen and Sarah illuminate why decision-making is so “squiggly” and how to harness the science of behavior for better personal and workplace choices.