Book Review: Freakonomics: A Rogue Economist Explores the Hidden Side of Everything

Another intellectual book, but this one is better than some.  Although my review is fairly glowing, I must note that I'm not fully converted.  As my reviews alludes to, Mark Twain had a saying about lies and statistics. But just the same, the book was worth my time.  Good thing, as it is one I had to read for a class.

Source: Amazon.com

Freakonomics: A Rogue Economist Explores the Hidden Side of Everything, by Steven D. Levitt and Stephen J. Dubner

From the book’s cover:

Which is more dangerous, a gun or a swimming pool?
What do schoolteachers and sumo wrestlers have in common?
How much do parents really matter?
These may not sound like typical questions for an economist to ask. But Steven D. Levitt is not a typical economist. He studies the riddles of everyday life—from cheating and crime to parenting and sports—and reaches conclusions that turn conventional wisdom on its head.

Freakonomics is a groundbreaking collaboration between Levitt and Stephen J. Dubner, an award-winning author and journalist. They set out to explore the inner workings of a crack gang, the truth about real estate agents, the secrets of the Ku Klux Klan, and much more.

Through forceful storytelling and wry insight, they show that economics is, at root, the study of incentives—how people get what they want or need, especially when other people want or need the same thing.

Synopsis:

In a nutshell, Freakonomics takes a number of papers written by economist Steven Levitt and compiles them into a book (with the assistance of Stephen Dubner, who probably smoothed out Levitt’s presumably overly academic style into something people could easily relate to).  The subjects vary, but are all related to social issues that affect us in the modern world.  The authors takes the approach that “conventional wisdom” is often completely opposite from fact, and that by using statistical data analysis, a person can get a better understanding of of many issues that affect us each day.  Such as, you ask?  Well, crime is a major topic in the book.  There are parts about so-called white collar crime, as well as a section about “Why Drug Dealers Still Live With Their Moms” (fascinating), and material on cheating in both professional sports and in the U.S. public school system.  Freakonomics uses the principles of economics to offer possible solutions to these questions.

Basically, Levitt and Dubner take the time to unravel some topics that most people don’t spend a lot of time thinking about, such as how much role parents really play in their child’s success, and how a name affects that kid’s chances of future high socioeconomic status.  An important subject, to be sure, but how do you pin it down?  The authors do their collective best to give answers, based on collected data.  One of the most controversial topics covered is abortion and its relation to the crime rate, but I’ll cover more about that below. 

The authors Steven Levitt and Stephen Dubner / Source: RojoeMedia.com

What I liked about it:

I liked that the book makes the subject of economics, which could be easily considered a very dry subject, into something that most people can relate to.  Having previously listened to a lecture series called Thinking like an Economist: A Guide to Rational Decision Making, by Professor Randall Bartlett (I didn’t review it for this blog) certainly helped me to understand the material that was underlying the author’s claims.  Then again, I’d venture to opine that a previous understanding (albeit thin, in my case) is not necessary.

The varied subjects are interesting, and at face value the chapter heading questions - What do grade school teachers and sumo wrestlers have in common?, for instance - are not easily answered off hand.  Plus, as an amatuer historian and someone who is interested in how things work in general, I found the connections that the authors drew to be quite charming.  I wouldn’t say I agreed with everything asserted. Not by any means.  See What I Didn’t Like to learn more on that score.  But for the most part, I believed the authors made valid assertions and backed them up with enough data that I was unable to easily find holes in the logic.  Not that I’m a logician (somebody who studies logic - I looked it up).  But the data is pretty sound, though I’m sure a person with enough time and resources could find contrary indications.  Such is the nature of statistics, if you believe Mark Twain; “There are three kinds of lies: Lies, Damn Lies, and Statistics”.

Also, as a final comment on what I liked, I’d have to say that even though the authors assert that there is very little cohesive theme implied in their book, I drew one out of it.  I’m not sure if it was intentional, but the data provided led me to conclude that (boy, I’m really sounding scholarly today, ain’t I?) a person’s actions lead them to be what they are, and in turn, affect the world around them.  It’s almost as if Kharma was being woven into the fabric of the book’s train of thought.  Do good things - good things happen to you?  Ok, that’s the My Name is Earl take on it, but I can’t argue with its simple premise.  

Now I feel like watching that show.  I wonder if it is on Hulu.com?

What I didn’t like about it:

Well, it could be argued that the statistics on abortion being the reason for the crime drop in the mid 90s is not a completely reasonable argument, and moreover that such a conclusion is immoral (for those who believe in Right to Life especially).  I will not be getting into the Life vs. Choice argument here, other than to say that my daughter is adopted, so that should tell you I am at least a practical advocate of Life (it could be said that my daughter’s very existence in the world today is a product of the Pro-Life decision of her birth mom, and for that I am eternally - literally eternally, according to my faith - grateful).  But even though I first scoffed at the proposal that abortion rates could play a role in crime stats, the figures given and the logic used was pretty conclusive.  I’m sure you could bring more into it, but for that you’d need further study data and another bright economist with the time to do the work.  I am not that guy, and so I won't be.

In that vein, I should also point out that the author notes that the ethical considerations of abortion as a crime control measure are relevant.  He isn’t just saying “Abortions for all and we’ll solve crime in America.”  He simply points out that, in a time when things looked dour, Roe v Wade made a delayed impact due to people not being around who might have contributed to higher rates.  It is impossible to say that all those people who fell into the category of low income and potential “super predators” might have gone through with criminal activities.  But the numbers do look pretty scary.  I’ll leave such realities to God, and put my faith in good reason and personal conscience in the meantime.

Other than that one controversial issue, the only other gripe I might have had was that the figures were a bit tough to follow on the fly.  Again, a disadvantage of reading an audiobook.  I have this book for my Introduction to Economics class this semester, and so maybe a more careful going over in print will yield better results.  Also I am biased due to the fact that numbers do not work quickly in my head.  I have no natural affinity for mathematical matters.  So others might be quicker on the uptake and not find the stats such a fuzzy zone.

Five bonus points in class for watching the film, my professor says.  Now all I gotta do is find a copy of it.  Bet my local video store doesn't have any?  I'd take those odds.

What I learned, if anything:

I learned a lot!  For me, that is one definition of a good book.  It is good to enjoy a good yarn, but a book that challenges your thinking and provides concrete answers (yes, you can argue statistic til the cows come home, I know) is worth my time.

The section on the young student who went and studied the drug dealers was especially informative.  I actually stayed up too late in the night after having read that section, as I wanted to look for more books that would teach me more about the life of street gangs and drug-related crime.  So Freakonomics is essentially a book that both teaches you and makes you want to learn more.  Quite a pleasant experience.

I also hooted with surprise and happiness over the story of one Mr. Stetson (yes, of the hat company), who took on the Klu Klux Klan in the 50s and ended up beating them.  How did he do it?  This tale alone is worth reading the book for, and I won't spoil it.   

Recommendation:

Freakonomics was a New York Times Best Seller, and I can see why.  I had actually seen this book while browsing for stuff to read, and skipped it.  I thought that anything with such an odd title couldn’t be very good, or was probably too “hipster” for me.  Luckily, I had to read it for my Economics class this semester, and am glad I did.  It is a relatively brief book, so it won’t tax your time too heavily, and the material is quite fascinating.  I’d say that the book is highly recommended, though I ought to mention that it does contain quotes with swearing, and the topic material is of a mature nature (abortion is just one area of concern here), so it is definitely not something you’d read your kids as a bedtime story.  Not unless you are an economist, I suppose.  I now look forward to reading the follow up, Superfreakonomics.  If it is even half as good, it’ll still be a fantastic read.

Lean more about Freakonomics: A Rogue Economist Explores the Hidden Side of Everything on Amazon.com 


I'm hiding out at my local McDonald's restaurant while an uninvited relative is at my house, using the washer and dryer.  It's been an interesting day.  I set my alarm clock this early AM, but neglected to make sure it was turned on. Maybe on my way home I'll stop somewhere and get a new alarm clock.  The one I'm currently using is kinda clunky.  You have to push the Alarm button really hard to get the alarm time to come up, and then fumble with it to get it to change times.  Plus the light only stays on for about five seconds at a time.  But what do I expect for a cheap alarm clock, huh?

The parting comment:

Source: LolSnaps.com

Mr. Whiskers, you have been given a special assignment to take out the leader of an international pigeon terrorist cell.  You'll have zero assets at your disposal on this operation, so you'll have to rely on your natural feline cunning and wet work tools to accomplish your goals.  The pigeon terrorist can be identified by the color of his beak, which is only slightly darker than the average pigeon's beak.  But in this instance, you may assume all pigeons that are in the area are potential hostiles, and use lethal force to dispatch any threats that cross your path.  Remember though, if you are taken alive, the secretary will disavow your mission and you will be left to the mercies of your captures.  I don't have to remind you how pigeons feel about your kind, I am sure.  It won't be pretty.  Good luck, Mr. Whiskers.