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What trait is shared by both Ku Klux Klan members and real-estate agents? In what way do the working worlds of Chicago schoolteachers and Japanese sumo wrestlers intersect? These questions might seem puzzling at first glance, but the answers provided in Freakonomics: A Rogue Economist Explores the Hidden Side of Everything reveal that fundamental notions of economics can be used to interpret just about everything in modern society. Toggle navigation.
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Freakonomics - Wikipedia

Please join StudyMode to read the full document. Freakonomics Stephen Levitt, Stephen Dubner Summary , chapter 1 The authors of Freakonomics discusses in chapter one about how incentives can do the opposite of what the incentives are created for. Incentives are the basis of all human action and interaction [i. After the fine is introduced, the number of late pick-ups immediately goes up. Furthermore, the fine takes away the parents moral liability and they do not feel guilty for late pick-up as they will pay for it. Further authors compare teachers and sumo wrestlers to explain what they mean and why. Teachers in USA, especially public school teachers, are being tempted to cheat to receive bonuses for their children to do better on standartized testing.
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Keynes was never this much fun

Author Steven Levitt begins Freakonomics by brushing over some of the stories, questions, and ideas he will cover in the rest of the book, such as the s crime drop, information asymmetry, real estate agents, correlation vs. From then on, each chapter centers on an unusual question. The first chapter's main message is about incentives. Incentives are the basic building blocks of economics: according to economists, nearly every decision can be explained through incentives. Because of incentives, people are sometimes driven to cheat.
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Very soon, there will be an Institute of Gladwell Studies. The New Yorker's Malcolm Gladwell, is the dean of a new school of social studies whose pedagogic method is the 'international bestseller'. Poised somewhere between hip journalism and mass observation, Gladwell Studies mixes business savvy with pop sociology and has now replaced cute monographs on north Atlantic seafood and the cocoa bean as formulaic routes to riches for author and publisher alike. Described as the Indiana Jones of his subject, when the Institute of Gladwell studies opens its economics department, Steven D Levitt, a young University of Chicago teacher, will surely be its chair. The author of Freakonomics is pleased to be described as 'a rogue'.
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