Predictably Irrational: The Hidden Forces That Shape our Decisions

Ariely recounts his experience with a local cable company. They promised him one month of free digital cable, but after the technician installed Ariely’s “free” digital cable, he received a bill in the mail for $60. He called the customer service department, and “a nice fellow who took my call patiently explained that, unfortunately, I had problems with reading comprehension” (252). The terms of agreement, which were in tiny font at the bottom of the company’s ad, clearly explained that there would be a fee. Ariely increasingly distrusts businesses, and research shows he is not alone. People are becoming less trusting not only of “those who are trying to swindle us but of everyone” (252).

Ariely and several colleagues created an experiment to measure people’s degree of distrust. They set-up a booth that offered “Free Money” (253). While they didn’t expect people to simply pick one of the bills off the table, they assumed people would at least stop by and ask about the free money. Even when they offered $50 for free, less than 20% of passersby stopped and took the money. This finding suggests that the public has deep mistrust.

To examine the depth of mistrust, Ariely and his colleagues expanded on this experiment.