A libertarian is someone who believes in the right of people to choose or that

people should be free to make their own decisions. The online Cambridge dictionary defines

paternalism as "... thinking or behaviour by people in authority that results in them making

decisions for other people that, although they may be to those people's advantage, prevent them

from taking responsibility for their own lives."

Therefore, libertarianism and paternalism are in conflict with each other. Yet, Cass Sunstein and

Richard Thaler, one a lawyer and the other an economist at the University of Chicago, have

advanced the notion of Libertarian Paternalism which claims that it is possible for private and

public institutions to affect behavior or make decisions for people while also respecting people's

freedom of choice. How is this possible or what do they mean by this? Explain with an

example.