NFL Draft Day wisdom from Richard Thaler
May 08, 2014
Today, National Football League commissioner Roger Goodell kicks off the 2014 NFL Draft.
In seven rounds, over three days, NFL teams will scramble to get the most successful college football players into their lineups.
But sometimes the most talked-about players turn out to be duds, and sixth round, 199th pick turns out to be Tom Brady of the New England Patriots.
Teams have a lot on the line to get their draft picks right—but how do they know when to blitz for a top player? Behavioral economist Richard Thaler, of Chicago Booth, has a forthcoming paper in Management Science with Cade Massey, of Wharton, which analyzes the decision making of NFL teams during the draft.
"The advice we give to teams is: When in doubt, trade down and get more picks," says Thaler. Watch these clips for more of Thaler's best advice for NFL team owners.