Behavioral Economics

This course is an introduction to behavioral economics, which is the use of the methods of psychology to evaluate economic models of decision making and the collection of theories derived therefrom. The course reviews behavioral economics in the context of different economic models of decision making: decisions made under conditions of uncertainty, judgments of risk and probability, intertemporal decision making, and strategic interaction. Topics may include framing effects, prospect theory, menu dependence, endowment effects, confirmation bias, hyperbolic discounting, social preferences, and the utilization of behavioral economics for public policy.

030022