Powerful ideas from top nonfiction
Try Blinkist to get the key ideas from 7,000+ bestselling nonfiction titles and podcasts. Listen or read in just 15 minutes.
Start your free trial
Blink 3 of 8 - The 5 AM Club
by Robin Sharma
Listen to the Intro
Freakonomics summary
Steven D. Levitt and Stephen J. Dubner
A Rogue Economist Explores the Hidden Side of Everything
21 mins
Topics
Table of Contents
Freakonomics
Summary of 10 key ideas
Audio & text in the Blinkist app
Key idea 1 of 10
Incentives can affect your wallet, your pride or your conscience.
At this very moment, there are probably countless people who wish to affect your behavior: politicians, police, your doctor, your boss, your parents or your spouse, to name just a few. Although the tactics used may vary from threats and bribes to charm and deceit, all attempts have something in common: they rely on incentives.
An incentive is simply a means of urging people to do more of a good thing or less of a bad thing.
Incentives fall into three general categories: economic, social and moral. Most successful incentives – the ones that attain the desired change in behavior – combine all three types.
One area where incentives are crucial is in the field of crime. People regularly have opportunities to cheat, steal and defraud, so it’s interesting to examine what incentives keep them from doing so.
The risk of going to prison and the related loss of employment, house and freedom are all essentially economic in nature, and certainly form a strong incentive against crime.
There is also a strong moral incentive, as people don’t want to do something that they feel is wrong.
And finally there is a strong social incentive, as people do not want to be seen by others as doing something wrong. Often, depending on the crime, this can be a stronger incentive than economic penalties.
It is this combination of all three types of incentives that encourage most people to refrain from crime.
Incentives can affect your wallet, your pride or your conscience.
Want to see all full key ideas from Freakonomics?
Key ideas in Freakonomics
More knowledge in less time
Read or listen
Get the key ideas from nonfiction bestsellers in minutes, not hours.
Find your next read
Get book lists curated by experts and personalized recommendations.
Shortcasts New
We’ve teamed up with podcast creators to bring you key insights from podcasts.
What is Freakonomics about?
Freakonomics (2005) applies rational economic analysis to everyday situations, from online dating to buying a house. The book reveals why the way we make decisions is often irrational, why conventional wisdom is frequently wrong, and how and why we are incentivized to do what we do.
Who should read Freakonomics?
- Anyone interested in human decision-making.
- Managers with an interest in the impact of incentives and risk analysis
- Economists looking for a more creative approach to using the tools of economics
Categories with Freakonomics
Books like Freakonomics
People ❤️ Blinkist
Sven O.
It's highly addictive to get core insights on personally relevant topics without repetition or triviality. Added to that the apps ability to suggest kindred interests opens up a foundation of knowledge.
Thi Viet Quynh N.
Great app. Good selection of book summaries you can read or listen to while commuting. Instead of scrolling through your social media news feed, this is a much better way to spend your spare time in my opinion.
Jonathan A.
Life changing. The concept of being able to grasp a book's main point in such a short time truly opens multiple opportunities to grow every area of your life at a faster rate.
Renee D.
Great app. Addicting. Perfect for wait times, morning coffee, evening before bed. Extremely well written, thorough, easy to use.
People also liked
Start growing with Blinkist now
28 Million
Downloads on all platforms
4.7 Stars
Average ratings on iOS and Google Play
91%
Of Blinkist members create a better reading habit*
*Based on survey data from Blinkist customers