Misbehaving: The Making of Behavioural Economics

by Richard H. Thaler

Whenever anyone asks me for investment advice, I tell them to buy a diversified portfolio heavily tilted toward stocks, especially if they are young, and then scrupulously avoid reading anything in the newspaper aside from the sports section. Crossword puzzles are acceptable, but watching cable financial news networks is strictly forbidden.

The only sensible prediction is to say that what happens will surely surprise us.

“There are Humans. Look around.” The first step to overturning conventional wisdom, when conventional wisdom is wrong, is to look at the world around you. See the world as it is, not as others wish it to be.