The book is a masterpiece shedding light on human behavior concerning economies (Kahneman & Egan, 2011). It states that a human being likes to view themselves as rational thinkers and decision-makers. It may not be exclusively the case since the human thinking is prone to many biases. The awareness of the biases involved enables an individual to be in a better position to avoid them or even significantly reduce them (Kahneman & Egan, 2011).
The book discusses how easy the rationality of an individual can be distracted (Financial Times, 2018). The book shed a lays of light on how an individual thinks and the possible choices made (Kahneman & Egan, 2011). The book also gives an in-depth analysis of rationality and understanding happiness and the overall well-being of an individual.
The book as a masterpiece in Modern economics concept has received numerous review from distinct individuals from varying professional backgrounds. The individuals who have reviewed the book have expressed both common ideological standpoints and how they differ with the Daniel Kahneman's book. An analysis of how they disagree and agree with the book's view is analyzed and summarized as follows.
Jim Holt Review
The review of the book by Jim Holt emphasis on the errors of reasoning in which an individual is not aware of (Holt, 2018). The specific errors that were experimentally discovered influence the judgment derived from a scenario. As irrelevant as the mistakes may seem they tend to affect biases in our view. People making decisions under uncertainty do not always behave rationally as the traditional economic held. In some instance, individuals will not make arrangements to maximize utility as it is typically expected of a rational person.
The review agrees on certain aspects of human behavior amongst them being the alternative basis for rational decision making (Holt, 2011). The review also appreciates the science involved in happiness, regarded in the book as hedonic psychology. The review believes that the book is profound and a rich substantiated analysis of intellectual, personal values. The review presents the book as an exciting presentation when Kahneman outlines how they collaborated with Tversky his partner (Holt, 2011). The review shows the book as a masterpiece of great importance in the way individuals will view themselves currently and in the future (Holt, 2011). The review also agrees with the book's view that overconfidence, mostly by professionals rules their decision making without their knowledge or their intentions.
The review differs from the book in particular ways, where most of the work by Kahneman is typically based on fallacies and cognitive bias. The reviewer holds an opinion that despite the presence of a modest policy, agreements should be clearly stated and confidentiality upheld. The reviewers also note that the book in its System 1 utilizes association to present reality. System 2 uses the presented fact to arrive at beliefs and reasons (Holt, 2011). The reviewer believes that System 2 despite being deliberate is also lax in its nature and form. It does not analyze things instead it accepts the unreliable imputes from System 1.
Review by William Easterly
According to William Easterly, the book presents lifetime research on the conscious and unconscious mistakes when an individual thinks (Financial Times, 2018). The reviewer analyses the two systems as outlined by Kahneman, starting with the thinking fast represented by unconscious and unintentional thought (Financial Times, 2018). The second system represents the part of our thinking we are always in control. The reviewer agrees with the book that despite the second system being in control, there is too much going on unconsciously than what we can analyze and control. System 2 is intentionally set in a lazy mode since it has to have the capability to choose moments with substantial reasonableness. The reviewer notes that Kahneman dislikes the term irrationality and proposes a harmonic combination of our automatic mentality and the control part.
The reviewer identifies that the unconscious System 1 is mostly the source of what we do wrong (Financial Times, 2018). He also appreciates the fact that it is the same part that influences what we do right, which is what we do most (Financial Times, 2018). System 1 enables an individual to respond to occurrences, and according to the reviewer, if System 1 is adequately nourished produces desirable results. Such a case is outlined in the analysis of expert intuition possessed by doctors or firefighters who deliver an appropriate response in case of complex emergencies.
Despite the anticipatory intuition, a person may possess, sometimes it may turn out wrong due to overconfidence or mistake (Financial Times, 2018). The uncertainty of nature also affects the reliance of our intuition. The brain act from already what is known to it from the past which most of the time is not the case in the future. The brain may also overstate outcomes and likelihood of occurrence due to the extent it previous spread.
Joel Suss’s Review
The reviewer, in this case, believes that the book is a masterpiece that should be made a must read item (Suss, 2012). The reviewer identifies with the notions around decision making, namely the aspect of overconfidence and self-doubt when making decisions. The reviewer also upholds it time for evolution on the old view of a strictly rational man. A human being is fur complicated that what was simplified in the ancient times. At the time the decisions made by an individual are influenced by factors beyond personal control.
Suss (2012) analyzes the simple and confidence System 1 that influences and governs an individual’s decision-making. The reviewer also highlights the second system entailing deliberate and effort-based decision making. The reviewer also analyses the last section of the book that focuses on memories and experiences concerning decision making. The reviewer notes that Kahneman upholds that it is important to understand both memories and skills in the evaluation of subjective well-being. He also points that Kahneman also stresses on the importance due to psychology when informing improved public policy. Emphasis is also made on understanding the significance to be realized from informing the public about the trends taken by a human brain in decision making. The book helps on to avoid common biases present in day activities undertaken by individuals (Suss, 2012). The viewer is in conformity with the writer in many aspects and believes the book is a must-read piece for anyone viewing the human being as rational.
Marek Kohn’s Review
The reviewer is particularly amazed by the presentation of a disgusted face in the introductory part of the book, to convey different emotions and the current state of the conditions. The reviewer, in this case, upholds that the book is a true and a fair view of the human brain. The reviewer also in his view believes the book substantiated with sufficient proof on the aspect of the presence of biases involved in decision making.
The reviewer agrees with the book that a person is not strictly rational in decision making. The review also outlines that a passionless professional only relies on the superior's understanding of the psychology of behavioral economics. The full emotional reliance argument presents the book to be an effective mechanism for concluding. The two systems set off brain work as a team where the second relies on the first system based on intuitions.
The reviewer holds a view that mental bookkeeping is so paramount mostly because of the nature of the current societal setting. The possibility of the chance to manipulate the situation at hand may be mistaken for intuition at first sight (Kohn, 2011). The fact from the analysis of a person performing better and after being complimented, the same person does the same thing and produces worse results. The reviewer believes that the human brain cannot be utterly dependent on one variable when making a decision.