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Freakonomics Radio

209. Make Me a Match

Freakonomics Radio

Freakonomics Radio + Stitcher

Documentary, Society & Culture

4.632K Ratings

🗓️ 18 June 2015

⏱️ 50 minutes

🧾️ Download transcript

Summary

Sure, markets generally work well. But for some transactions -- like school admissions and organ transplants -- money alone can't solve the problem. That's when you need a market-design wizard like Al Roth.

Transcript

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0:00.0

Okay, I'm Al Roth and I'm a professor of economics at Stanford.

0:13.3

For many years Roth had taught economics at Harvard but he and his wife, who is a human

0:18.0

factors engineer, had relocated.

0:21.0

We had just moved into our new apartment.

0:22.6

We had moved to Stanford in September of 2012.

0:26.5

Shortly thereafter on October 15th, something memorable happened.

0:31.5

And my wife woke up around three in the morning and said, the phone's ringing and I woke

0:37.3

up and it wasn't ringing anymore.

0:39.1

We only had one phone at that point and it was in her office which was downstairs so I

0:42.3

said, dear, it's not ringing and I'm back to sleep.

0:45.2

And she went down and got the phone and it started ringing again.

0:47.6

It turns out it's a good thing they call you back, they don't go down their list.

0:51.7

And it was the Nobel Committee.

0:55.9

Roth, half asleep, was informed that he, along with Lloyd Shapley, had won the Bank of

1:01.7

Sweden Prize in Economic Sciences in Memory of Alfred Nobel.

1:06.5

Also known as the Nobel Prize in Economics.

1:12.0

Did you think you had a chance?

1:14.0

You know, it's hard to answer that humbly.

1:17.1

So I knew that I was on the big list of people who, if I want a Nobel Prize, it wouldn't

1:23.3

cause the Nobel Committee to be embarrassed.

1:26.5

The newspapers the next day would not say craziness in Stomach.

1:30.9

But there are many, many people in that category.

...

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