Daniel Kahneman

The thirty-five chapters in this book describe various judgmental heuristics and the biases they produce, not only in laboratory experiments but in important social, medical, and political situations as well. Individual chapters discuss the representativeness and availability heuristics, problems in judging covariation and control, overconfidence, multistage inference, social perception, medical diagnosis, risk perception, and methods for correcting and improving judgments under uncertainty. About half of the chapters are edited versions of classic articles; the remaining chapters are newly written for this book. Most review multiple studies or entire subareas of research and application rather than describing single experimental studies. This book will be useful to a wide range of students and researchers, as well as to decision makers seeking to gain insight into their judgments and to improve them.

This book presents the definitive exposition of 'prospect theory', a compelling alternative to the classical utility theory of choice. Building on the 1982 volume, Judgement Under Uncertainty, this book brings together seminal papers on prospect theory from economists, decision theorists, and psychologists, including the work of the late Amos Tversky, whose contributions are collected here for the first time. While remaining within a rational choice framework, prospect theory delivers more accurate, empirically verified predictions in key test cases, as well as helping to explain many complex, real-world puzzles. In this volume, it is brought to bear on phenomena as diverse as the principles of legal compensation, the equity premium puzzle in financial markets, and the number of hours that New York cab drivers choose to drive on rainy days. Theoretically elegant and empirically robust, this volume shows how prospect theory has matured into a new science of decision making.

In his mega bestseller, Thinking, Fast and Slow, Daniel Kahneman, world-famous psychologist and winner of the Nobel Prize in Economics, takes us on a groundbreaking tour of the mind and explains the two systems that drive the way we think. System 1 is fast, intuitive, and emotional; System 2 is slower, more deliberative, and more logical. The impact of overconfidence on corporate strategies, the difficulties of predicting what will make us happy in the future, the profound effect of cognitive biases on everything from playing the stock market to planning our next vacation―each of these can be understood only by knowing how the two systems shape our judgments and decisions. Engaging the reader in a lively conversation about how we think, Kahneman reveals where we can and cannot trust our intuitions and how we can tap into the benefits of slow thinking. He offers practical and enlightening insights into how choices are made in both our business and our personal lives―and how we can use different techniques to guard against the mental glitches that often get us into trouble. Topping bestseller lists for almost ten years, Thinking, Fast and Slow is a contemporary classic, an essential book that has changed the lives of millions of readers.

"Pretty much all the advice about happiness we have heard revolves around one basic assumption: that we can think ourselves happier. But in HAPPINESS BY DESIGN, behavior and happiness expert Paul Dolan reveals that the key to being happy does not lie in changing how we think--it's changing what we do"-- Dolan combines the latest insights from economics and psychology to illustrate that in order to be happy we must behave happy. Using what Dolan calls deciding, designing, and doing, we can overcome the biases that make us miserable and redesign our environments to make it easier to experience happiness, fulfilment, and even health.

Learn how to be strategic and formidable in all aspects of negotiation--from reading the room, to staying cool, to achieving the best outcome. If you read nothing else on negotiation, read these 10 articles. We've combed through hundreds of Harvard Business Review articles and selected the most important ones to help you clinch successful deals in business and beyond. This book will inspire you to: Control the negotiation even before you enter the room Understand your counterpart's position and gain their trust Keep your negotiations from becoming confrontations Understand the rules of negotiating across cultures Find ways to expand the pie for all involved Set the stage for a healthy relationship after the ink has dried Know when to walk away from a deal--

If you read nothing else on decision making, read these 10 articles. We've combed through hundreds of articles in the Harvard Business Review archive and selected the most important ones to help you and your organisation make better choices and avoid common traps.

"The nature of well-being is one of the most enduring and elusive subjects of human inquiry. Well-Being draws upon the latest scientific research to transform our understanding of this ancient question. With contributions from leading authorities in psychology, social psychology, and neuro-science, this volume presents the definitive account of current scientific efforts to understand human pleasure and pain, contentment and despair."--BOOK JACKET.