# The Up Side of Down **URL:** **By** Megan McArdle, Aaron Ross Powell, Trevor Burrus **Published:** July 14, 2014 --- Megan McArdle says that recognizing failure—and in some cases embracing it—is a crucial part of what makes American markets and society successful. Megan McArdle joins us to talk about her new book [_The Up Side of Down: Why Failing Well is the Key to Success_](http://www.amazon.com/The-Up-Side-Down-Failing/dp/067002614X/) (2014). We don't tend to think of failure as a good thing. But McArdle says that recognizing failure—and in some cases embracing it—is a crucial part of what makes American culture, markets, and society successful. But she also says we're getting worse at dealing with failure. Is the world too fragile to tolerate failure now? **Show Notes and Further Reading** Megan McArdle, [_The Up Side of Down: Why Failing Well is the Key to Success_](http://www.amazon.com/The-Up-Side-Down-Failing/dp/067002614X/) (book) Steven Johnson, [_The Ghost Map: The Story of London's Most Terrifying Epidemic--and How It Changed Science, Cities, and the Modern World_](http://www.amazon.com/The-Ghost-Map-Terrifying-Epidemic/dp/1594482691/) (book) Steven Pinker, [_How the Mind Works_](http://www.amazon.com/How-Mind-Works-Steven-Pinker/dp/0393334775/) (book) Bruce M. Hood, [_SuperSense: Why We Believe in the Unbelieveable_](http://www.amazon.com/SuperSense-Why-We-Believe-Unbelievable/dp/B002VPE7GK/) (book)