44 pages • 1 hour read
Michael LewisA modern alternative to SparkNotes and CliffsNotes, SuperSummary offers high-quality Study Guides with detailed chapter summaries and analysis of major themes, characters, and more.
The chapter’s title refers to the notion that people often make risky decisions without a context. The isolation effect theory was developed just as Danny and Amos were experiencing one of their most productive and prolific periods together, and after their ideas were starting to gain traction in the field of psychology as well as in economics. The more they studied the isolation effect, the more they became aware of new ideas, such as “framing,” in which “changing the description of a situation, and making a gain seem like a loss, you could cause people to completely flip their attitude toward risk, and turn them from risk avoiding to risk seeking” (276). From framing, they moved to prospect theory, which argued that when people are given two identical alternatives, they will likely select the one that is framed as a gain rather than a loss.
However, the chapter explores isolation beyond its effects on decision making. As Danny and Amos started to loosen their grip on their isolated collaboration, in which they worked behind a proverbial and literal closed door, Danny gave Amos an ultimatum.
By Michael Lewis
Flash Boys: A Wall Street Revolt
Michael Lewis
Going Infinite: The Rise and Fall of a New Tycoon
Michael Lewis
Liar’s Poker
Michael Lewis
Moneyball: The Art of Winning an Unfair Game
Michael Lewis
The Big Short: Inside the Doomsday Machine
Michael Lewis
The Blind Side
Michael Lewis
The Fifth Risk
Michael Lewis
The New New Thing
Michael Lewis
The Premonition: A Pandemic Story
Michael Lewis