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People I (Mostly) Admire

94. The Price of Doing Business with John List

People I (Mostly) Admire

Freakonomics Radio + Stitcher

Society & Culture

4.61.9K Ratings

🗓️ 10 December 2022

⏱️ 66 minutes

🧾️ Download transcript

Summary

From baseball card conventions to Walmart, John List has always used field experiments to say revolutionary things about economics. He explains the value of an apology, why scaling shouldn’t be an afterthought, and why he moved to the private sector to stay at the forefront of science.

Transcript

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0:00.0

I guess today, John List is an economics professor, a friend, and a colleague at the University

0:10.7

of Chicago.

0:11.7

And of all my peers, John is the one who has most greatly influenced the way I think about

0:17.4

the world.

0:18.9

So I took my knowledge from the baseball card market and said, look, I've been doing

0:23.3

these field experiments, I think we should do that rather than lab experiments.

0:28.8

And every professor at Wyoming basically said, if you want to use data from outside

0:34.5

the lab, do things like what Steve Levitt or Leashinfelter, Alan Krueger, and Josh

0:39.7

Angister doing, that's what people do who are doing empiricism, and I said no.

0:45.2

I think that we should be doing field experiments.

0:50.6

Welcome to People I mostly admire with Steve Levitt.

0:56.8

The use of randomized experiments in economics has exploded in the last 25 years, and John

1:02.4

deserves more credit for that than anyone else.

1:05.1

But how he did it, that's the really remarkable thing, it's the story of a complete outsider,

1:11.0

a renegade thinker whose ideas and personality were so powerful that they couldn't be defeated.

1:17.4

If I was suspected that the fact that you had such a different set of interesting experiences

1:29.6

has contributed to the incredible originality that you brought to economics.

1:34.6

And your path has not been an easy one.

1:37.0

I mean, we're in a field in which pedigrees are extremely important.

1:41.5

Almost everyone teaching at the top economics departments has a resume filled with places

1:46.2

like Harvard, Princeton, Stanford, MIT, but when I look at your resume, I find University

1:53.7

of Wisconsin, Steven's point, University of Wyoming, the University of Central Florida.

...

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