It is true that from a behavioral economics perspective we are fallible, easily confused, not that smart, and often irrational. We are more like Homer Simpson than Superman. So from this perspective it is rather depressing. But at the same time there is also a silver lining. There are free lunches!

Take the physical world for example. We build products that work with our physical limitations. Chairs, shoes, and cars are all designed to complement and enhance our physical capabilities. If we take some of the same lessons we've learned from working with our physical limitations and apply them to things that are affected by our cognitive limitations-insurance policies, retirement plans, and healthcare-we'll be able to design more effective policies and tools, that are more useful in the world. This is the promise of behavioral economics - once we understand where we are weak or wrong we can try to fix it and build a better world.