Dr. Paul White

Understanding Why We Make the Financial Decisions We Do

May 12th, 2010

There is a relatively new field of social science (i.e. the study of social behavior) called behavioral economics. It has been around for about 10 years formally. And two of the leaders in the field (Daniel Kahneman and Amos Tversky) received a Nobel prize a few years back. As a psychologist, initially I had a bit of a cynical view of the field — largely because the idea of economists telling us about behavior patterns struck me as rather ludicrous (economists aren’t known for being very accurate predictors of anything.) But, ta-da!!, it turns out that most of the leaders in the behavioral economics field are actually trained as psychologists (Kahneman, Tversky, and Ariely).

In the past, I have written on the psychology of investing and also the kinds of errors investors make (for example, pulling out your money after the stock market has dropped, and putting it back in after the stock market has already rebounded significantly — sounds like the fall of 2008 and spring of 2010).

Recently, Dan Ariely, a psychologist and behavioral economist at Duke University has been in the news. He has written a new book, The Upside of Irrationality and it was recently previewed in Forbes.

I have his previous book, Predictably Irrational, and thought I’d share a few of his observations and conclusions which I think are quite applicable in our daily lives.

Just to whet your appetite, here are some of the chapter titles:

The Fallacy of Supply and Demand
The Power of a Free Cookie
The Power of Price
The Cost of Social Norms.

The premise of the book is that people do not make rational decisions — especially with regards to money (spending, buying, saving, investing). And further, that we are predictably irrational — there are patterns that we follow.

Let me share from the section entitled, The Truth about Relativity. The main point is that “humans rarely choose things in absolute terms. . . Rather, we focus on the relative advantage of one thing over another. . . We are always looking at the things around us in relation to others. We can’t help it. . . (w)e not only tend to compare things with one another but also tend to focus on comparing things that are easily comparable — and avoid comparing things that cannot be compared easily. . . We like to make decisions based on comparisons.”

Ariel then cites a series of experiments that show a number of principles:

1. People like to make decisions by means of comparing choices (what clothes washing machine to buy, what job offer to take, who to date).

2. If a person does not have an alternative to compare to, they very likely will “pass” and decide “no”.

3. When there are multiple alternatives, people usually (not always, there are some other factors that can intervene) choose the “middle” option. They don’t want the most expensive and they don’t want the cheapest (items on a restaurant menu, clothing, professional services).

4. The downside to comparing, is that we often feel unsatisfied with what we have when comparing to those around us (feeling others have a better job than we do, a better car, took a better vacation, etc.) So comparing usually leads to dissatisfaction.

So here are some of my observations and applications.

a) Although it is good to differentiate yourself in the marketplace from your competitors, if you are too different, potential customers can’t compare you to the competition and they will not choose to use you.

b) When marketing goods or services, know who your competition is and what their price points are. Try to fall in the middle price range (but offer more value).

c) If you are offering a new or unique product or service, provide at least two options (a more expensive one and the one you really want to sell) so customers have a “choice”. [Ariely actually cited a study that demonstrated this application.]

d) If you want to limit your spending, surround yourself with individuals whose lifestyle is lower than yours — not higher. When you compare yourself to what car they drive, where they buy their clothes, and where they go on vacation, you will feel less pull to “trade up” and spend more.

e) When you are shopping, be aware that marketing departments of stores know about the tendency of people to choose the middle price option — often the lower price is actually a better deal.

Have a great week — and watch that irrational behavior!

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Creative Problem-Solving: Ways to Communicate When the Other Person Just Doesn’t “Get It”

March 7th, 2010

My wife (Kathy) and I have been married 30 years. We are both college-educated and fairly good communicators. Most people understand us when we talk or write.

But sometimes we have a hard time communicating with each other. It is not that we don’t try, or that one of us doesn’t want to understand. But occasionally (I think it is only occasionally), one of us just doesn’t “get” what the other person is saying. I will admit that the person in our relationship that doesn’t “get it” most often is usually me.

She is trying to communicate something and I’m listening. I’m nodding like I understand. I feedback to her what she just said. And I may get the words right, but it is clear to her (sometimes, also to me) that I am not really understanding what she is trying to say. Even now, I think of conversations where I am nodding, “Yea, yea”, and then all-of-a-sudden I get ‘fogged’. “Whoa, wait a minute. You lost me there. I got point A, and point B, but then I’m not sure where you went from there.” And she tries again, with different words, but I find myself wincing and squinting, shaking my head side-to-side and just generally being confused.

Recently, we had this experience again. She was sharing about some challenges in our relationship, and I’m listening. But I am not getting it. And she is getting frustrated with herself that she can’t communicate her thoughts, feelings and experiences in a way that I understand what she is trying to say.

Ok, so I am a psychologist. And I am supposed to be this expert in human interactions — relationships, communication, feelings, and all that. This isn’t supposed to happen to me or in my marriage. (Wrong.)

So we agreed to try an experiment — some creative problem-solving, if you will. Since we have had this experience at least a few times, and seem to get stuck at the same place, we agreed we need to try something different. We are going to try to communicate these thoughts & feelings differently.

Here’s some things we are going to try (or, at least, consider as options):

Write it down. Sometimes people are better able to communicate more clearly when they write down their thoughts. This allows them to review what they have written and see if it really expresses what they are trying to say. It also slows down the interaction so the receiver doesn’t respond right away and you get into a quick interchange, which can lead to heightened emotions or getting off track.

Draw a picture. Drawing a picture of how you are feeling now, and possibly a picture of how you would like things to be may “break through” and help the person see the situation differently. It can be an actual drawing of the situation, or a “feeling picture” that represents what you are experiencing inside.

Use a word picture. Use some daily life situation that can serve as an example of what you are thinking. “It’s like cooking. You have the ingredients. You put them together, but not in the right order. And so the cake doesn’t turn out right.”

The best kinds of word pictures are those using examples and experiences most familiar to the recipient of the message. If you are trying to get your husband to understand something, use objects and processes that are part of his life — sports, fishing, planning a project at work, food, mechanics, computers — whatever it is.

Find some media (song, book poem, video clip) that says or shows what you are trying to communicate. This could be tough, but there are media examples out there that communicate our internal experience better than what we can say ourselves. It could be a song (Carole King’s “You’re So Vain” comes to mind!), or a passage from a book (keep it short), a poem (don’t get too metaphorical), or a clip from a movie (this could be good if the guy doesn’t infer too much from the rest of the movie).

You may have other suggestions. I’m open to ideas. We will see how it goes (I’ll let you know if we have a major breakthrough).

I think the encouraging part is — we keep trying. We know each other is trying. We aren’t giving up (yet) on trying to communicate. Maybe it’s me as an individual person. Maybe it’s because I’m a guy. Maybe it’s just tough for men and women to fully understand each other. Maybe it is something else. We haven’t figured it out yet. I will let you know if / when we do.

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Creating New Family Traditions Around the Holidays

December 17th, 2009

A “new tradition” is sort of an oxymoron.  By definition,  (”a long-established, inherited way of thinking or acting”), a tradition is some action that you have been doing for a while.  But I believe it is both possible and helpful to intentionally create new traditions for your family.

We need to recognize that families go through a variety of life stages, with different needs at each stage.  And the demands and parameters of daily life vary significantly.  Think about what life is like when you:

  • Are in college, or a single young adult.
  • Are newly married, early in your career, without children.
  • Have 2-3 children, ages birth to four years old.
  • Have 3 children, ages six to twelve, and both parents are working outside of the home.
  • Are parents of preteens and high school students.
  • Have some children in college and some at home.
  • Have daughters-in-law’s and sons-in-law, with some of your children living in other parts of the country.
  • Have become empty-nesters, and eventually grandparents.

It is hard to imagine a family tradition that could survive and be really appropriate for family members across all of these life stages (with the possible exception of special foods served at holiday meals).  That is why most family traditions die over time — they no longer “fit” with where the family is currently. So it really seems necessary for families to create (or revise) family traditions over time, if the family is going to continue to have traditions they celebrate.

We may want to review why having traditions is important?  What is the big deal?  On the one hand, I could argue, they really aren’t that big of a deal — they aren’t directly related to the survival of anyone or the family.  On the other hand, I believe traditions are important for a number of reasons.

Traditions:

  • Create a sense of togetherness among family members.
  • Provide a context by which family memories are made and can be recalled (”remember when you were little, we used to … “)
  • Become an avenue through which you can teach important values (e.g. going as a family on a service project together).
  • Give a sense of stability and predictability to a family, which children both need and desire.
  • Generate positive emotional energy within a family through a sense of anticipation of the event, and also gratitude for the energy expended to make the event occur.
  • Develop a pathway of transferring family history, values and stories across generations (”When I was growing up, our family . . . “)

Let me give you some examples of traditions we have created within our family over the years.

Opening Christmas presents.  When our children were little, we devised a strategy to manage the pressure of them wanting to open Christmas presents (which were already under the tree) on Christmas eve.  Rather than facing constant and repeated questions (”Can’t we just …), we came upon the plan of me [dad] giving the family a present to open on Christmas eve.  Every year it was a game that we could play together that evening.  So it accomplished a number of goals:  a) decreased the demands to open presents;  b) provided a family activity for us to do together; and c) helped us develop quite a storehouse of games to be used throughout the year!

Giving gifts to charities and educating the family about the charity.  Several years ago, when my siblings and our families gathered together to exchange gifts at my parents’ home, we decided that we didn’t need to give each other small, and sometimes not very meaningful gifts, just out of habit. We were having our own families, didn’t need the extra expense, and the time and energy to shop for one another (even after we had reduced it to drawing names to just give one present) didn’t seem worth it.  So we agreed to start a new gift giving tradition.  That each year one sibling and our spouse would choose a charity; we would provide information about the organization and the services they provided, and then the siblings gave money to that charity instead of buying gifts.  (This was a time-limited tradition which went away as our families grew larger and we no longer meet together to exchange gifts across the extended family.)

A new holiday meal.  In deference to my friend, Dr. Gary Chapman, and his book The Five Love Languages, I would propose that there is a separate love language for teenage boys — food.  (Anyone else who has had three teenage boys knows what I mean.)  This is especially true for our middle son, Joel.   A number of years ago, when Joel was in high school, he proposed that we start a new tradition, a Christmas eve meal of barbeque meatballs, fries, salad, and brownies for dessert.  His brothers, sister, and dad all thought this sounded like a good idea — and in exchange for help in making the meal, mom agreed to the new tradition, which we enjoy to the present.

A family story-telling event.  When we moved into our home over fourteen years ago, we started a tradition focused on our new, large fireplace.  We call it “The First Fire”.  Every year, as the weather gets colder, we pick a night to build our first fire in the fireplace.  We start it without newspaper (only using really small pieces of wood) and try to start it with just one match.  After the fire is going, we turn out all the lights, sit around the fire and eat some wintry munchies (popcorn, hot cider, hot chocolate, make s’mores).  And then we tell family stories.  Kathy and I tell stories about our families when we were growing up, and even stories that our parents told us about their childhood.  And then we tell stories about each child, when they were little.  (The siblings all chime in with their own memories and stories of one another.)  It really is a delightful time.  We will have to see if the tradition continues or how it may morph into a new form, since our children are all at college or out on their own now.

There are other traditions I could share (Fourth of July celebrations, vacation sites we went to repeatedly for years, birthday traditions, New Year’s traditions), but that is enough for now.

As we approach the Christmas and New Year’s holidays, when most families gather together, I would encourage you to think about your current (or possibly past) traditions that you want to keep going or rekindle.  And also think about possible new traditions that you may want to start.

Here are a couple of lessons we have learned in starting new traditions:

  1. There needs to be a leader, someone who leads out and take charge.  Just throwing out an idea (”Maybe we should . . .”  or “What do you think about .  .  . “), doesn’t make it happen.
  2. Having more than one family member involved and committed raises the probability of getting started.   Trying to start a family tradition by yourself doesn’t usually work.  There needs to be “buy in” from one or two others (depending on the size of your family) to sustain the energy needed to overcome inertia, and to “get it done”.
  3. Don’t wait for everyone for to get excited about the idea in order to start. Having unanimous agreement or excitement is probably an unrealistic expectation (especially if you have teenagers!)  It is okay for someone to not really be that excited about the idea initially.  But usually, if it is a decent idea and implemented adequately, family members “come along” and often later admit they enjoyed the time.

Whatever you do together as a family over the coming weeks, do it and enjoy one another!

May God bless you and your time together over the holidays.

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Understanding Violence: Anger + Constant Violent Images + Poor Impulse Control + Societal Acceptance

October 10th, 2009

Recently, there has been an “outrage” expressed in the media and in some communities about the continued increase in violence in our country. About two weeks ago an honor student was beaten to death by peers in Chicago — and the violence was captured by cell phones.
In response to this incident a number of community leaders have called for “action” — and from their perspective this means more government programs, more community-based interventions — with the accompanying government funding. This is an example of another misguided understanding of what creates behavior and what is needed to help people make better choices.

So let’s look at the issues that together create a violent response.

Anger. Anger is one of the responses that comes from one’s expectations not being met. People get anger when “X shouldn’t have happened” or when “You should have done Y” and you didn’t. So a key aspect to understanding anger (and violence) is the mismatch between people’s expectations and their experience of reality.

I believe a key contributing factor to the increase of violence in our society is a growing lack of realistic expectations people have. You may insert your own beliefs of what unrealistic expectations are but mine include: the right to have money even if you don’t work, the right to have (health care, housing, insert almost anything) at the same level as anyone else who lives in the U.S. I think we need to take a serious look at the expectations we are creating for our society — they are not logically consistent nor realistically sustainable. As a result, unrealistic expectations + not matching our daily experience leads to increasing anger.

Constant Violent Images. I continue to be amazed at our society. Why are we surprised that violent acts are increasing when we are flooded with violent images? When a majority of our TV shows (CSI, Law & Order, etc.) every night of the week are based on someone getting killed or raped, when our children and teens come home and spend hours every week playing video games which simulate stealing, shooting, and beating up others, and when our music idolizes sexual violence — how else should we expect young adults to act?

Poor impulse control. As a culture we do not really value nor teach impulse control. Impulse control is the ability to stop and think before you act. It includes the ability to delay gratification — just because I want it, doesn’t mean I get it right now. Our “enjoy the moment”, “buy now, pay later”, and “I have the right to . . .” culture undermines the development of children’s and adolescents learning to “do the right thing” even if it doesn’t feel right. Our culture’s focus on pleasure is a distorted view of “happiness”. Happiness doesn’t come from getting every desire met immediately — true happiness comes from living life in a way that helps you live in harmonious relationships with others and achieving goals and accomplishments that enhance the quality of your life over time. [Think about eating healthily and exercising vs. eating sweets all the time and laying around the house playing video games.]

Societal acceptance. When a community loses its ability to communicate acceptance or judgment of unacceptable behavior, the unacceptable behavior will continue to grow in frequency. The moral relativity we have accepted in our culture has lead us to be reluctant to call anything “wrong” — but then we don’t understand when individuals go ahead do “wrong” things [e.g. Bernie Madoff and taking advantage of others financially). Peer pressure works — both positively and negatively. People still want to be accepted, not be shunned or embarrassed — and group pressure from a person’s community can impact their choices. But we have largely given up the power of this type of influence.

So what do we do? First, understand that violence is a personal choice, not primarily a societal problem to be solved by governmental intervention. Second, start to attack the issues that create the propensity for violence. Individually, I think we should refuse to watch violent TV shows (and write the networks or advertisers) and not purchase violent video games. Third, teach our children and families both realistic expectations for life, and the ability to control their impulses. And lastly (although it may not be politically correct) communicate concern and disappointment when those around you make poor choices — if you don’t, then they will come to believe that lying, cheating, stealing, and treating others poorly is acceptable.

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The Importance of Wisdom — And How to Get It

July 19th, 2009

I like to learn from others who have been successful.  In our culture, some people look to successful business leaders; others look to athletes or entertainers.  I find some of the best advice from wise people from the past — from classic literature from previous civilizations and cultures.

Here are some thoughts from a king and writer of literature from about 3,000 years ago:

Wisdom in the most important thing; so get wisdom. If it costs everything you have, get understanding.  Treasure wisdom, and it will make you great; hold onto it, and it will bring you honor.”   He goes on to espouse the pre-eminence of acquiring wisdom, and that it will lead to virtually everything else good in life — wealth, influence, health, and peace.

So the question becomes — how does one become wise?  The author responds to this question:

Don’t follow the ways of the wicked; don’t do what evil people do.  Avoid their ways, and don’t follow them.  Stay away from them and keep on going, because they cannot sleep until they do evil.

The author then lays out the principles for obtaining wisdom:

  1. Be careful what you think, because your thoughts run your life.
  2. Don’t use your mouth to tell lies; don’t ever say things that are not true.
  3. Keep your eyes focused on what is right, and look straight ahead to what is good.
  4. Be careful what you do, and always do what is right.
  5. Don’t turnoff the road of goodness; keep away from evil paths.

So to summarize, he encourages his readers to:

  • manage their thoughts,
  • watch what they say and speak with honesty,
  • keep focused on the good
  • act with integrity
  • keep away from those who repeatedly make poor choices.

I find these thoughts interesting and applicable to our lives today because there are so many voices telling us what to do and how we should live.  Being past 50 years old and having had the opportunity to view different economic and political seasons, it has become more evident to me that living according to patterns of behavior that have been proven over long periods of time (decades, centuries) is wise.

Although some patterns (leveraging business ventures through credit, buying now and paying later for personal purchases) can work within a short time frame or certain conditions, living within one’s means, saving for the future, and taking preventative steps to manage potential risks seem to work well over the long term.  They are not as exciting, and also are not as potentially rewarding within the short term.

Some may say:  “Desperate times call for desperate measures” and this may be true.  But many desperate people have perished by making unwise decisions in their desperation.  I hope this does not become the case for our country.

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When Is a Problem Really a “Problem”?

February 10th, 2008

A fair amount of my time professionally is listening to individuals, families and organizations who are experiencing some challenges that they are trying to manage successfully. They describe to me a variety of problems and are looking for insight on what to do.

The issues range from individual behavior and feelings — anxiety about life, problems with anger management, patterns of communication which are viewed as condescending by others, uncertainty about one’s future career path — to problems solidly planted in the midst of relationships (marital conflict, a teenager or young adult who is demonstrating behavior problems and the parents don’t know what to do, a lack of trust among family members). And the challenges also can be more systemic or organizational — the lack of qualified managers who can “step up” to fill the gap when the current senior leaders retire, or current key employees who do not have the characteristics needed to be successful in their role.

Believe it or not, one of the most frequent questions I am asked is: “Do you think this is really a ‘problem’ or is it normal?” In essence, I am being asked: “Is this a ‘normal’ problem or is this something we should be concerned about?”

For example, parents aren’t sure if their teenager’s behavior is “normal teenage rebellion” or something greater. Or a manager doesn’t know if his direct report’s tendency to irritate his coworkers and those who work for him is “ok” and he should just let it ride, or if he should confront the issue.

Often, I give my clients some guidelines in order to determine if the problem is within the normal range of behavior (note that “normal” behavior includes challenges, weaknesses, and problem behavior) or if the pattern should be viewed more seriously. Here are a few ways to tell.

First, let’s clear the air on one viewpoint. Some people attempt to minimize problems they are having by saying: “There are lots of people who struggle with (xyz). It is not that big of a deal.” This is the adult version of the teenage justification, “Everyone is doing it!” The point trying to be made is that X behavior can’t really be problematic if it occurs frequently. Wrong. Ask the children of alcoholics or parents who are physically abusive (two high frequency behavior patterns). The level of frequency of a problem in a society has no bearing on its impact on individuals.

Ok, so here are the guidelines.

Frequency of the behavior. If a problem behavior (e.g. losing your temper and yelling at others) occurs once every six months, that is less of a concern than if the behavior occurs daily. Generally speaking, the more frequent a problem is demonstrated, the more concern there should be.

Intensity. Similarly, if the intensity of the behavior is fairly mild, this might be considered within the ‘normal’ range. But when the intensity is high, there is more concern. For example, if an employee is occasionally late to work five to ten minutes, that is not as significant as showing up two hours late (or not at all!) Anger reactions, drinking too much alcohol, anxiety, not fulfilling commitments made, etc. all fall into this realm.

Duration. If a behavior pattern has existed for 30 years (and potentially has grown worse over that time period), that is more problematic than a behavior that has just shown up recently. If a problem pattern has recently emerged, often we look for other stressors in the person’s life that may be temporary.

Generality. If a behavior pattern is pretty limited to one area of a person’s life, or one specific setting, that is less of a concern than if the behavior pattern can be seen in numerous setting. So if a manager relates to numerous people, in multiple settings, in a condescending or sarcastic way (with colleagues, with supervisors, with clients, with vendors, on the phone, in meetings, in email, out in public), then the “level” of the problem is more severe than if this style of communication only occurred with one vendor.

Impact on other areas of life. Some problem behaviors only impact one area of life (work, marriage, relationship with children). Some guys relate well to people at work and in the community, but treat their family members disrespectfully. Some people worry about their children, but the issue doesn’t bleed over into their work life, so that may not be as big of a concern.

Level of concern reported by numerous parties.
When an individual raises issues or concerns about another person, whether it is at work or within a family, I view the situation differently than when the same issue is being raised by numerous people. (This is especially true when the individuals don’t seem to have any secondary gains to realize from reporting the problem.)

So, if we take all the issues together, a “normal” problem behavior is probably displayed infrequently, with mild to moderate intensity, maybe has only existed for a short while, and is fairly limited in its scope of where it is displayed.

Conversely, real “problem” behaviors are seen frequently, can be scary in their intensity, have been around a long time, and occur in numerous areas of the person’s life, and usually is creating significant disturbance in his or her life’s functioning.

One final comment. “Problem” problems need to be addressed. They will not go away on their own. And most significant problems are not easy to solve (if they were, they probably would have already been resolved.) “Problem” problems usually require multiple strategies to correct them successfully.

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“One Thing”

December 31st, 2007

Remember “Curly”, the ascerbic senior wrangler played by Jack Palance in City Slickers? In the movie, Mitch (played by Billy Crystal) is in the midst of a midlife crisis brought on by his 39th birthday. So he and two friends go West to “find themselves” by participating in a cattle drive. Curly is the cowpoke in charge and gives Mitch the answer to his midlife crisis — he needs to find the “one thing” that is central to his being and that becomes his life purpose.

Now there have been a lot of books written in the past ten years regarding finding one’s purpose in life (First Things First by Stephen Covey; The Purpose Driven Life by Rick Warren; Life on Purpose by Brad Swift) and that is not the point of this entry.

Rather, I would like to tie in the idea of “one thing” to New Year’s resolutions. The other day my wife asked me if I was going to work on my New Year’s resolutions and I said, “No, I don’t do those anymore”, which is true to an extent. I don’t make a list of things I want to do or change in the coming year (largely in response to either a sense of failure in past years, or a desire to be more honest now.) But I do focus on “one thing”.

I have learned that if I am going to change something in my life, either to do something I haven’t done before or to remove something from my life, I need to focus on one thing at a time. Otherwise, I become overwhelmed, get bogged down, and none of the x number of changes I wanted to make actually happen.

So let me share some key components of making change in our lives. The more of these you include in your plan, the higher the probability is that you will be successful in incorporating new behavior in your life. The fewer involved in your plan, the more difficult it may be to make the change happen and “stick”. But the list isn’t an “all or nothing” proposition. Rather, pick which ones work for you in your life right now and go for it!

1. Define your goal in observable and measurable terms. Set a goal (to exercise a total of 240 minutes a week; to take a 10 week class in conversational Spanish; to save $1,000 by Memorial Day). If your “change” is amorphous and ill-defined, you really can’t develop a specific plan to achieve the change and you won’t know when you reach your goal.

2. Make a firm (written?) commitment to yourself that you intend to reach this goal and set a target date for achieving the goal. Most of us set “sort of” goals, like “I think I’m going to …” or “I’d like to …” This is in contrast to: “I am going to …. by x date.” Feel the difference in the level of commitment?

3. Determine how and when progress toward the goal will be measured. Often we set long-term goals (anything over two weeks is really long term in the realm of change) but don’t set up interim goals that will help us track our progress and help keep up accountable. If you are going to save $1,000 by Memorial Day then you should set up interim goals for every week or month between now and then.

4. Use social support. One of the key factors to successful behavior change is not trying to do it by yourself. Hence, the success of WeightWatchers or exercising with a friend or taking a class together with someone. Although the support can be in the form of reporting and accountability, the best form is by doing it together. That way, you encourage and support each other along the way.

5. Accountability — have an external reporting source verify your progress. If you really want to get serious about accomplishing your goal, set up a system to “check in” with someone who has to verify (by physical evidence, not by your verbal report) your progress. They see the balance on your savings; they check with your friend about class attendance; they watch you weigh on the scale. It’s tough, but effective.

6. Use rewards and consequences for reaching (or not) your interim goals. Although goals and consequences for reaching your ultimate goal work sometimes, usually the timeframe is too long to make a difference in our daily decisions. If you go to your Spanish class and get all the homework done, treat yourself to a dessert. If you reach your exercise goal for the week, rent a movie you have been wanting to see. I would encourage you to focus more on rewards than consequences; otherwise, you can develop a negative and resentful mindset toward the life change if you don’t reach your goal in one or two weeks, which results in giving up.

7. Focus on a short-term project rather than an exceptionally long period of time. If you want to make a long term change, break it up into a series of short term goals (3-4 months). Most of us only have so much mental and emotional energy, and from a perspective point of view, short-term goals are easier to start toward and complete.

With regards to choosing that “one thing”, let me offer some different ways to decide what change you should pursue. Sometimes you pick the one thing that really irritates you the most about you, and that would significantly change how you feel about yourself if that behavior or characteristic were different. Sometimes it is best to choose an “easy win”; some behavior that you know you can (and will) change if you just set your mind to it. And then you use this as a confidence builder to attack a more menacing behavior next quarter. Or sometimes you pick a behavior or pattern you have been thinking about working on, and one of your friends is planning to attack the same area — that way you have a built in social support system.

Whatever it may, I hope you find “one thing” you want to improve in your life and develop a plan that has a high probability of success rather than just go through the motions of making some New Year’s resolutions with no definite plan — that will probably lead to frustration and negative thoughts about yourself (and nobody needs that). I’m going to decide what my “one thing” is and work out a specific plan, and I will have it done by 8 a.m. CT 1/2/2008.

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