Predictable Irrational by Dan Ariely

I like this book some how because it's applicable in daily life. It's also interesting because all the hypothesis are supported by survey or tested on MIT students.

The first chapter tells you about the truth about relativity. So bad or good, it's really depends on the surrounding. Here's the lesson from this chapter : when a similar but better-looking friend of the same sex asks you to accompany him or her for a night out, you might wonder whether you have been invited along for your company or merely as a decoy...hahaha...just joking :P

The second chapter tells you about the fallacy of supply and demand. That our first decisions resonate over a long sequence of decisions. First impressions are important. it is important to understand the process by which our first decisions translate into long-term habits.

The third chapter tells you about the cost of zero cost. FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is. it's because humans are intrinsically afraid of loss. The real allure of FREE! is tied to this fear. There's no visible possibility of loss when we choose a FREE! item (it's free).

The fourth chapter tells you about the cost of social norms. Just thinking about money makes us behave as most economists believe we behave—and less like the social animals we are in our daily lives.

The fifth chapter tells you about the influence of arousal. Some how I will not elaborate this as I think this is not important. :D

The sixth chapter tells you about the problem of procrastination and self control. The survey results suggest that although almost everyone has problems with procrastination, those who recognize and admit their weakness are in a better position to utilize available tools for pre-commitment and by doing so, help themselves overcome it. We have problems with self-control, related to immediate and delayed gratification—no doubt there.

The seventh chapter tells you about the high price of ownership. OWNERSHIP IS NOT limited to material things. It can also apply to points of view. Once we take ownership of an idea—whether it's about politics or sports—what do we do? We love it perhaps more than we should. We prize it more than it is worth. And most frequently, we have trouble letting go of it because we can't stand the idea of its loss.