Book review: Russ Roberts, Wild Problems: A Guide to the Decisions That Define Us. (New York: Portfolio/Penguin, 2022).
Are you one of those people, like me, who analyzes a decision to death? Who makes T-bar lists of pros and cons for every decision? Yet, as economist Russ Roberts points out in his new book, often the pros and cons are not fully visible. We can’t rationalize our way through every problem. Life is messy and unpredictable. What kind of thinking can help us when we are wrestling with questions like:
Who should I date?
Which new job should I try out?
Should I move in with my best friend?
Roberts puts his economist mind to work on questions like these. And like all of his books, Wild Problems is a fun, accessible read. As he walks us through the limits of rationality, we find anecdotes ranging from Adam Smith to eharmony. Roberts pokes some playful fun at biologist Charles Darwin, who was endearingly trying to apply scientific rationalism to the question of marriage. Or, from his own life, Roberts candidly shares his decision-making process for whether to accept an overseas job offer.
What makes the book so special is that Roberts is an economist, who specializes in quantitative analysis and rational frameworks like trade-offs. He is a life-long expert of frameworks like cost-benefit and opportunity cost, which, as he puts it, is about “what we give up when we choose one thing over another.” This makes it all the more pleasantly surprising that he wrote a book making a case about the limits of rationality.
Grappling With Unknowns
We can’t always know the costs and benefits for a decision. “Many decisions involve burning bridges, crossing into a new experience that will change you in ways you can’t imagine,” Robert tells us. This makes me think of decisions like becoming a parent, joining the Peace Corps, getting married, relocating to a new region, or committing to a faith practice. We have no way of knowing how these experiences will change us—which means we must take a leap into the unknown.
Rationality Vs. Altruism
Taking another unexpected turn, rather than being strictly transactional or utilitarian, Roberts encourages us to consider human flourishing and altruism.
In the chapter excellently titled “How to Get Over Yourself,” Roberts advises,
Try to be aware of your natural impulse to ask, what’s in it for me, and make room instead for what the people around you need for the journey we’re all in together. A nontrivial part of this book is about the danger of focusing too narrowly on your personal satisfaction. (p. 131)
This holds true whether we are a parent, a sibling, a spouse, an employee, a boss, or simply a friend.
Necessary But Not Sufficient
For those volunteering or working in nonprofits, how do we make decisions? On the one hand, we apply rationality in how we design and evaluate programs. Of course we should do our best to be efficient with our resources.
But rationality is a wonderful yet limited tool. As Roberts points out, moral reasoning is just as important. Those of us working in the frontlines of nonprofits tend to be generous, courageous, and altruistic. We feel strongly about the needs around us and about the consequences if we don’t act.
Think of the risks taken by those working in health care or in war zones, first responders, and those working for women’s education in countries where gender-based discrimination is not yet outlawed or enforced. Think of the lunch counter protestors during the American civil rights movement. There is courage. Altruism. Sacrifice. I like how Roberts puts it, “Pain, especially when it’s in service of an ideal, can be a source of meaning. That doesn’t make us irrational. It often makes us admirable.”
My personal take away from reading the book is that we must bring both the head and the heart to our work. Rationality by itself is overrated. As Roberts advises, “The rule is simple: Privilege your principles. Your decisions define who you are. Don’t make trade-offs when it comes to your essence.”
I couldn’t agree more.
Photo by Emre Keshavarz, https://www.pexels.com/photo/pensive-ethnic-woman-thinking-on-chess-move-7207270/