Emotion and Self-Control: Insights from Behavioral Economist Dan Ariely

Back in August 2014, I had the opportunity to attend a three-day workshop in Sausalito, California, led by the renowned behavioral economist Dan Ariely. At the time, I was in the early stages of starting Kiwi, a savings startup aimed at the Mexican market.

The workshop was designed for startups like ours, who could benefit from the material covered.

One of our most interesting sessions was "Emotion and the Art of Self-Control." Dan's insights into self-control and decision-making helped shape the direction of my startup and my personal life. Here are some key takeaways that I gained from the session.

• Now vs. Later: We often trade off the present for the future, which can result in bad decisions. For instance, we may indulge in risky behavior or accumulate debt and later regret those decisions.
• Who has your personal best interest?: The world is a constant battle between us and other entities that want something from us. It's crucial to identify who has our best interests at heart and make decisions accordingly.
• Think differently about our future selves: Developing empathy towards our future selves can help us make better decisions. By imagining the negative consequences of our actions, we can create an emotional connection that can improve our self-control.
• Reward substitution: Instead of focusing on long-term goals, we should aim for something else we care about. This approach can be more effective in motivating behavior than merely trying to teach self-control. (e.g., Shifting our focus to the environment and caring about global warming as a personal cause can be emotionally stimulating and help activate self-control.)
• The Marshmallow Experiment: This experiment provided evidence that self-control can be taught. Children learned to trick themselves into not eating the marshmallow by distracting themselves with other activities.
• Self-control problems: Self-control problems are part of the human condition, and it's essential to act in line with what is good for the long term, even if it's not easy.

Behavioral economics is a topic I have been very much intrigued by for a while. It's pretty interesting how humans often act against our best interest due to instinct, reflex, or habit. Learning about self-control and decision-making can help us make better choices.