Fun Theory

Nudging works better in improving welfare as we are a bit irrational in our decision making process. We strive for the best, but we are imperfect, emotional, influenced by context, shortsighted, inconsistent and cognitively lazy.


To Think About
Education can only show the rational path, while nudging helps us make a good decision, partly unconsciously. You may find more examples here: www.thefuntheory.com.

Source: An Initiative of Volkswagen (2009). "Fun Theory - Piano Stairs". Retrieved from YouTube on Nov 11, 2013

Google Generation

If you have ever wondered whether kids today are better with technology compared to adults, a study commissioned by British Library and Joint Information Systems Committee (JISC) may help you shed some light on this particular question. The research was carried out in 2008 and aimed to identify how specialist researchers of the future, currently in their school or pre-school years, are likely to access and interact with digital resources in five to ten years' time.

In this context, Google generation is defined by those born after 1993, who are growing up in a world dominated by internet. The name refers to their port of call for knowledge, which is the internet and the search engine (Google being the most popular), in contrast to that of previous generations that gained their knowledge through books and conventional libraries.

The study concluded that young people today:
  • are more competent with technology, but the majority tend to use simpler applications and fewer facilities than one might expect;
  • prefer interactive systems and turn away from being passive consumers of information, television and newspapers consumption being in decline;
  • opt for visual information versus text;
  • are a cut-and-paste generation;
  • spend little time in evaluating information, either for relevance, accuracy or authority;
  • have a poor understanding of their information needs and thus find it difficult to develop effective search strategies.
The debate is still open for other aspects:
  • the shift to digital forms of communication - the current popularity of texting might be influenced by its relatively low cost compared to voice;
  • multitasking in all areas of life - parallel processing skills might develop better as result of being exposed to online media early in life, but there is no evidence whether sequential processing abilities necessary for ordinary reading are being similarly developed;
  • the expectation to be entertained by formal learning - information media must be interesting or they will fail to use it, but enhanced interest might impede the absorption of information.
Also it's worth being aware about the myths that surround the Google generation:
  • their information needs must be fulfilled immediately: no evidence suggests that young people are more impatient in this regard;
  • they need to feel constantly connected to the web: research shows that factors specific to the individual, personality and background are more significant than generation;
  • they prefer quick information in the form of easily digested chunks, rather than full text: deep log studies show that, form undergraduates to professors, people exhibit a strong tendency toward shallow, flicking behavior in digital libraries;
  • they are expert searchers: the literature in the past 25 years show no improvement in young people's information skills. 

To Think About
Knowing how to use Facebook doesn't build proficient information skills.

Source: UCL (2008). "A ciber briefing paper. Information behavior of the researcher of the future". Retrieved from http://www.jisc.ac.uk on Nov 10, 2013

The Mid-Size Coffee Cup

Options tend to get chosen more often when they are the compromise alternative in a choice set.

Imagine that it's already half past eight in the morning and you should have been on your way to the office. There is no time to prepare the usual coffee and have a croissant. You must hurry to the bus station. Luckily, the bus has no delay and you are now almost next to the office.

You get down and you have the distinct feeling that you can't really start the day without the fresh smell of a coffee. You head to the little close-by coffee shop that you have passed so many times, but have never entered. With an invigorated spirit you go inside. On the big board behind the counter there are just three types of coffee to go: small, medium and large. Which one will you choose?

Notice that you are not really familiar with the store and its products. Scientists say that the most popular size of coffee anywhere in the world is the medium size. And it doesn't matter how much coffee there is in that medium sized cup. "Small" is just not enough and "large" is simply too much.

To Think About
Based on this idea product assortments can be optimized to maximize profits. Increasing the number of options in an assortment can encourage demand for the middle choice.

Source: Soman, D. (2013). Course: "BE101x Behavioural Economics in Action". edX platform