Helping the Poor in Education: The Power of a Simple Nudge

Curated on Posted on by Stefaan Verhulst

Susan Dynarski in The New York Times: “There are enormous inequalities in education in the United States. A child born into a poor family has only a 9 percent chance of getting a college degree, but the odds are 54 percent for a child in a high-income family. These gaps open early, with poor children less prepared than their kindergarten classmates.

How can we close these gaps?….

Yet as these debates rage, researchers have been quietly finding small, effective ways to improve education. They have identified behavioral “nudges” that prod students and their families to take small steps that can make big differences in learning. These measures are cheap, so schools or nonprofits could use them immediately.

Let’s start with college. At every step of the way, low-income students are more likely to stumble on the path to higher education. Even the summer after high school is a perilous time, with 20 percent of those who plan to attend college not actually enrolling — a phenomenon known as “summer melt.” Bureaucratic barriers, like the labyrinthine process of applying for financial aid, explain some of the drop-off.

While they were graduate students at Harvard, two young professors designed and tested a program to help students stick to their college plans. Benjamin L. Castleman, now at the University of Virginia, and Lindsay C. Page, at the University of Pittsburgh, set up a system of automatic, personalized text messages that reminded high school students about their college deadlines. The texts included links to required forms and live counselors.

The result? Students who received the texts were more likely to enroll in college: 70 percent, compared with 63 percent of those who did not get them. Seven percentage points is a big increase in this field, similar to the gains produced by scholarships that cost thousands of dollars. Yet this program cost only $7 per student.

The same researchers also tested a texting program to keep students from dropping out of college….(More)”

Governing the Embedded State: The Organizational Dimension of Governance

Curated on Posted on by Stefaan Verhulst
Book by Bengt Jacobsson, Jon Pierre, and Göran Sundström: “Governing the Embedded State integrates governance theory with organization theory and examines how states address social complexity and international embeddedness. Drawing upon extensive empirical research on the Swedish government system, this volume describes a strategy of governance based in a metagovernance model of steering by designing institutional structures. This strategy is supplemented by micro-steering of administrative structures within the path dependencies put in place through metagovernance. Both of these strategies of steering rely on subtle methods of providing political guidance to the public service where norms of loyalty to the government characterize the relationship between politicians and civil servants.

By drawing upon this research, the volume will explain how recent developments such as globalization, Europeanization, the expansion of managerial ideas, and the fragmentation of states, have influenced the state’s capacity to govern.
The result is an account of contemporary governance which shows the societal constraints on government but also the significance of close interaction and cooperation between the political leadership and the senior civil servants in addressing those constraints.”

People around you control your mind: The latest evidence

Curated on Posted on by Stefaan Verhulst

Jeff Guo in the Washington Post: “…That’s the power of peer pressure.In a recent working paper, Pedro Gardete looked at 65,525 transactions across 1,966 flights and more than 257,000 passengers. He parsed the data into thousands of mini-experiments such as this:

If someone beside you ordered a snack or a film, Gardete was able to see whether later you did, too. In this natural experiment, the person sitting directly in front of you was the control subject. Purchases were made on a touchscreen; that person wouldn’t have been able to see anything. If you bought something, and the person in front of you didn’t, peer pressure may have been the reason.
Because he had reservation data, Gardete could exclude people flying together, and he controlled for all kinds of other factors such as seat choice. This is purely the effect of a stranger’s choice — not just that, but a stranger whom you might be resenting because he is sitting next to you, and this is a plane.
By adding up thousands of these little experiments, Gardete, an assistant professor of marketing at Stanford, came up with an estimate. On average, people bought stuff 15 to 16 percent of the time. But if you saw someone next to you order something, your chances of buying something, too, jumped by 30 percent, or about four percentage points…
The beauty of this paper is that it looks at social influences in a controlled situation. (What’s more of a trap than an airplane seat?) These natural experiments are hard to come by.
Economists and social scientists have long wondered about the power of peer pressure, but it’s one of the trickiest research problems….(More)”.

Just say no to digital hoarding

Curated on Posted on by Stefaan Verhulst

Dominic Basulto at the Washington Post: “We have become a nation of digital hoarders. We save everything, even stuff that we know, deep down, we’ll never need or be able to find. We save every e-mail, every photo, every file, every text message and every video clip. If we don’t have enough space on our mobile devices, we move it to a different storage device, maybe even a hard drive or a flash drive. Or, better yet, we just move it to “the cloud.”….
If this were simply a result of the exponential growth of information — the “information overload” — that would be one thing. That’s what technology is supposed to do for us – provide new ways of creating, storing and manipulating information. Innovation, from this perspective, can be viewed as technology’s frantic quest to keep up with society’s information needs.
But digital hoarding is about something much different – it’s about hoarding data for the sake of data. When Apple creates a new “Burst Mode” on the iPhone 5s, enabling you to rapidly save a series of up to 10 photos in succession – and you save all of them – is that not an example of hoarding? When you save every e-book, every movie and every TV season that you’ve “binge-watched” on your tablet or other digital device — isn’t that another symptom of being a digital hoarder? In the analog era, you would have donated used books to charity, hosted a garage sale to get rid of old albums you never listen to, or simply dumped these items in the trash.
You may not think you are a digital hoarder. You may think that the desire to save each and every photo, e-mail or file is something relatively harmless. Storage is cheap and abundant, right? You may watch a reality TV show such as “Hoarders” and think to yourself, “That’s not me.” But maybe it is you. (Especially if you still have those old episodes of “Hoarders” on your digital device.)
Unlike hoarding in the real world — where massive stacks of papers, books, clothing and assorted junk might physically obstruct your ability to move and signal to others that you need help – there are no obvious outward signs of being a digital hoarder. And, in fact, owning the newest, super-slim 128GB tablet capable of hoarding more information than anyone else strikes many as being progressive. However, if you are constantly increasing the size of your data plan or buying new digital devices with ever more storage capacity, you just might be a digital hoarder…
In short, innovation should be about helping us transform data into information. “Search” was perhaps the first major innovation that helped us transform data into information. The “cloud” is currently the innovation that has the potential to organize our data better and more efficiently, keeping it from clogging up our digital devices. The next big innovation may be “big data,” which claims that it can make sense of all the new data we’re creating. This may be either brilliant — helping us find the proverbial needle in the digital haystack — or disastrous — encouraging us to build bigger and bigger haystacks in the hope that there’s a needle in there somewhere… (More).”

Wiser: Getting Beyond Groupthink to Make Groups Smarter

Curated on Posted on by Stefaan Verhulst

New publication by Reid Hastie and Cass Sunstein: “Why are group decisions so hard? Since the beginning of human history, people have made decisions in groups–first in families and villages, and now as part of companies, governments, school boards, religious organizations, or any one of countless other groups. And having more than one person to help decide is good because the group benefits from the collective knowledge of all of its members, and this results in better decisions. Right? Back to reality. We’ve all been involved in group decisions–and they’re hard. And they often turn out badly. Why? Many blame bad decisions on “groupthink” without a clear idea of what that term really means. Now, “Nudge” coauthor Cass Sunstein and leading decision-making scholar Reid Hastie shed light on the specifics of why and how group decisions go wrong–and offer tactics and lessons to help leaders avoid the pitfalls and reach better outcomes. In the first part of the book, they explain in clear and fascinating detail the distinct problems groups run into: They often amplify, rather than correct, individual errors in judgment; They fall victim to cascade effects, as members follow what others say or do; They become polarized, adopting more extreme positions than the ones they began with; They emphasize what everybody knows instead of focusing on critical information that only a few people know. In the second part of the book, the authors turn to straightforward methods and advice for making groups smarter. These approaches include silencing the leader so that the views of other group members can surface, rethinking rewards and incentives to encourage people to reveal their own knowledge, thoughtfully assigning roles that are aligned with people’s unique strengths, and more. With examples from a range of organizations–from Google to the CIA–and written in an engaging and witty style, “Wiser” will not only enlighten you; it will help your team and your organization make better decisions–decisions that lead to greater success.”

Look to Government—Yes, Government—for New Social Innovations

Curated on Posted on by Stefaan Verhulst

Paper by Christian Bason and Philip Colligan: “If asked to identify the hotbed of social innovation right now, many people would likely point to the new philanthropy of Silicon Valley or the social entrepreneurship efforts supported by Ashoka, Echoing Green, and Skoll Foundation. Very few people, if any, would mention their state capital or Capitol Hill. While local and national governments may have promulgated some of the greatest advances in human history — from public education to putting a man on the moon — public bureaucracies are more commonly known to stifle innovation.
Yet, around the world, there are local, regional, and national government innovators who are challenging this paradigm. They are pioneering a new form of experimental government — bringing new knowledge and practices to the craft of governing and policy making; drawing on human-centered design, user engagement, open innovation, and cross-sector collaboration; and using data, evidence, and insights in new ways.
Earlier this year, Nesta, the UK’s innovation foundation (which Philip helps run), teamed up with Bloomberg Philanthropies to publish i-teams, the first global review of public innovation teams set up by national and city governments. The study profiled 20 of the most established i-teams from around the world, including:

  • French Experimental Fund for Youth, which has supported more than 554 experimental projects (such as one that reduces school drop-out rates) that have benefited over 480,000 young people;
  • Nesta’s Innovation Lab, which has run 70 open innovation challenges and programs supporting over 750 innovators working in fields as diverse as energy efficiency, healthcare, and digital education;
  • New Orleans’ Innovation and Delivery team, which achieved a 19% reduction in the number of murders in the city in 2013 compared to the previous year.

How are i-teams achieving these results? The most effective ones are explicit about the goal they seek – be it creating a solution to a specific policy challenge, engaging citizenry in behaviors that help the commonweal, or transforming the way government behaves. Importantly, these teams are also able to deploy the right skills, capabilities, and methods for the job.
In addition, ­i-teams have a strong bias toward action. They apply academic research in behavioral economics and psychology to public policy and services, focusing on rapid experimentation and iteration. The approach stands in stark contrast to the normal routines of government.
Take for example, The UK’s Behavioural Insights Team (BIT), often called the Nudge Unit. It sets clear goals, engages the right expertise to prototype means to the end, and tests innovations rapidly in the field, to learn what’s not working and rapidly scales what is.
One of BIT’s most famous projects changed taxpayer behavior. BIT’s team of economists, behavioral psychologists, and seasoned government staffers came up with minor changes to tax letters, sent out by the UK Government, that subtlety introduced positive peer pressure. By simply altering the letters to say that most people in their local area had already paid their taxes, BIT was able to boost repayment rates by around 5%. This trial was part of a range of interventions, which have helped forward over £200 million in additional tax revenue to HM Revenue & Customs, the UK’s tax authority.
The Danish government’s internal i-team, MindLab (which Christian ran for 8 years) has likewise influenced citizen behavior….”

How Paperbacks Helped the U.S. Win World War II

Curated on Posted on by Stefaan Verhulst
Jennifer Maloney at the Wall Street Journal: A decade after the Nazis’ 1933 book burnings, the U.S. War Department and the publishing industry did the opposite, printing 120 million miniature, lightweight paperbacks for U.S. troops to carry in their pockets across Europe, North Africa and the Pacific.

The books were Armed Services Editions, printed by a coalition of publishers with funding from the government and shipped by the Army and Navy. The largest of them were only three-quarters of an inch thick—thin enough to fit in the pocket of a soldier’s pants. Soldiers read them on transport ships, in camps and in foxholes. Wounded and waiting for medics, men turned to them on Omaha Beach, propped against the base of the cliffs. Others were buried with a book tucked in a pocket.
“When Books Went to War: The Stories That Helped Us Win World War II” by Molly Guptill Manning tells the story of the Armed Services Editions. To be published by Houghton Mifflin Harcourt on Dec. 2, the book reveals how the special editions sparked correspondence between soldiers and authors, lifted “The Great Gatsby” from obscurity, and created a new audience of readers back home.
The program was conceived by a group of publishers, including Doubleday, Random House and W. W. Norton. In 1942 they formed the Council on Books in Wartime to explore how books could serve the nation during the war. Ultimately, the program transformed the publishing industry. “It basically provided the foundation for the mass-market paperback,” said Michael Hackenberg, a bookseller and historian. It also turned a generation of young men into lifelong readers….”

Can Bottom-Up Institutional Reform Improve Service Delivery?

Curated on Posted on by Stefaan Verhulst

Working paper by Molina, Ezequiel: “This article makes three contributions to the literature. First, it provides new evidence of the impact of community monitoring interventions using a unique dataset from the Citizen Visible Audit (CVA) program in Colombia. In particular, this article studies the effect of social audits on citizens’ assessment of service delivery performance. The second contribution is the introduction a theoretical framework to understand the pathway of change, the necessary building blocks that are needed for social audits to be effective. Using this framework, the third contribution of this article is answering the following questions: i) under what conditions do citizens decide to monitor government activity and ii) under what conditions do governments facilitate citizen engagement and become more accountable.”

A Vision for Happier Cities

Curated on Posted on by Stefaan Verhulst

Post by at the Huffington Post:“…Governments such as Bhutan and Venezuela are creating departments of happiness, and in both the US and UK, ‘nudge’ teams have been set up to focus on behavioral psychology. This gets more interesting when we bring in urban planning and neuroscience research, which shows that community aesthetics are a key contributor to our happiness at the same time positive emotions can change our thoughts, and lead to changes in our behaviors.
It was only after moving to New York City that I realized all my experiences… painting, advising executive boards, creative workshops, statistics and writing books about organizational change…gave me a unique set of tools to create the Dept. of Well Being and start a global social impact initiative, which is powered by public art installations entitled Happy Street Signs™.
New York City got the first Happy Street Signs last November. I used my paintings containing positive phrases like “Honk Less Love More” and “New York Loves You” to manufacture 200 government-specification street signs. They were then installed by a team of fifty volunteers around Manhattan and Brooklyn in 90 minutes. Whilst it was unofficial, the objective was to generate smiles for New Yorkers and then survey reactions. We got clipboards out and asked over 600 New Yorkers if they liked the Happy Street Signs and if they wanted more: 92.5 percent of those people said yes!…”

It’s All for Your Own Good

Curated on Posted on by Stefaan Verhulst

Book Review by Jeremy Waldron of Why Nudge? The Politics of Libertarian Paternalism by Cass R. Sunstein and  Conspiracy Theories and Other Dangerous Ideas by Cass R. Sunstein: “…Nudging is about the self-conscious design of choice architecture. Put a certain choice architecture together with a certain heuristic and you will get a certain outcome. That’s the basic equation. So, if you want a person to reach a desirable outcome and you can’t change the heuristic she’s following, then you have to meddle with the choice architecture, setting up one that when matched with the given heuristic delivers the desirable outcome. That’s what we do when we nudge.
All of this sounds like a marketer’s dream, and I will say something about its abusive possibilities later. But Sunstein and Thaler have in mind that governments might do this in a way that promotes the interests of their citizens. Governments might also encourage businesses and employers to use it in the interests of their customers and employees. The result would be a sort of soft paternalism: paternalism without the constraint; a nudge rather than a shove; doing for people what they would do for themselves if they had more time or greater ability to pick out the better choice….
…allowing dignity to just drop out of the picture is offensive. For by this stage, dignity is not being mentioned at all. Sunstein does acknowledge that people might feel infantilized by being nudged. He says that “people should not be regarded as children; they should be treated with respect.” But saying that is not enough. We actually have to reconcile nudging with a steadfast commitment to self-respect.
Consider the earlier point about heuristics—the rules for behavior that we habitually follow. Nudging doesn’t teach me not to use inappropriate heuristics or to abandon irrational intuitions or outdated rules of thumb. It does not try to educate my choosing, for maybe I am unteachable. Instead it builds on my foibles. It manipulates my sense of the situation so that some heuristic—for example, a lazy feeling that I don’t need to think about saving for retirement—which is in principle inappropriate for the choice that I face, will still, thanks to a nudge, yield the answer that rational reflection would yield. Instead of teaching me to think actively about retirement, it takes advantage of my inertia. Instead of teaching me not to automatically choose the first item on the menu, it moves the objectively desirable items up to first place.
I still use the same defective strategies but now things have been arranged to make that work out better. Nudging takes advantage of my deficiencies in the way one indulges a child. The people doing this (up in Government House) are not exactly using me as a mere means in violation of some Kantian imperative. They are supposed to be doing it for my own good. Still, my choosing is being made a mere means to my ends by somebody else—and I think this is what the concern about dignity is all about….”